UK investors can once again benefit from tax-free cryptocurrency investments, thanks to fintech startup Stratiphy's approval to offer ETNs in a specialized ISA. This development allows users to hold crypto exchange-traded notes in a tax-free vehicle, as reported by the Financial Times. Stratiphy, a platform that enables personalized investment strategies, is now offering both crypto ETNs and IFISAs, which are authorized to invest in these products. ISAs permit users to save up to £20,000 annually without incurring income tax or capital gains tax on returns.
Following HMRC's classification of crypto ETNs as IFISA-exclusive instruments, Stratiphy's move makes these products more accessible. The platform will provide access to three 21Shares ETNs, covering bitcoin, ether, and a combination of bitcoin and gold. With £4 million in assets under management for 2,000 clients, Stratiphy's CEO highlights the significant interest in these products as a means to diversify portfolios with a new, low-correlation asset class.