UK investors can once again benefit from tax-free cryptocurrency investments after Stratiphy, a fintech startup, received approval to offer exchange-traded notes (ETNs) in a special class of individual savings account (ISA). According to a Financial Times report, Stratiphy will provide access to three ETNs from 21Shares, covering bitcoin, ether, and a combination of BTC and gold, in addition to Innovative Finance ISAs (IFISAs).
ISAs allow users to save up to £20,000 per year without paying income tax or capital gains tax on returns. This development comes after the UK's tax authority, HMRC, classified crypto ETNs as instruments only available in IFISAs from the start of the current tax year. Stratiphy, which manages £4 million for 2,000 clients, will offer these products, citing a high level of interest in crypto investments as a means of diversifying portfolios.