UK investors can once again benefit from tax-free cryptocurrency investments, thanks to Stratiphy's approval to offer exchange-traded notes (ETNs) in an Individual Savings Account (ISA). This development comes after the fintech startup received the green light to provide access to crypto ETNs in a special class of ISA.
Stratiphy, a platform that allows users to personalize their investment strategies, will offer both crypto ETNs and Innovative Finance ISAs (IFISAs), as reported by the Financial Times. ISAs enable users to save up to £20,000 per year without paying income tax or capital gains tax on returns. Following the UK tax authority's classification of crypto ETNs as IFISA-only instruments from April 6, Stratiphy's move is seen as a significant step forward. The company will provide access to three ETNs from 21Shares, covering bitcoin, ether, and a combination of BTC and gold.
With £4 million in assets under management for 2,000 clients, Stratiphy's CEO, Daniel Gold, notes that there is a high level of interest in these products, citing their potential for portfolio diversification and low correlation to other asset classes.