Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free account, thanks to fintech startup Stratiphy's new offering. Stratiphy, a personalized investment platform, will provide access to both crypto ETNs and Innovative Finance ISAs, as reported by the Financial Times.
This development allows users to save up to £20,000 annually without incurring income tax or capital gains tax on returns. The UK's tax authority, HMRC, had previously classified crypto ETNs as available only in IFISAs from the start of the current tax year.
However, with Stratiphy's new offering, investors can now access three ETNs provided by 21Shares, including those covering bitcoin, ether, and a combination of BTC and gold. According to CEO Daniel Gold, there is a significant level of interest in these products, which offer a unique way to diversify portfolios with low correlation to other asset classes.