Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free account, thanks to Stratiphy's new offering. The fintech startup has received the green light to provide these investments in a special class of individual savings account, as reported by the Financial Times.
Stratiphy's platform allows users to personalize their investment strategies and offers both crypto ETNs and Innovative Finance ISAs, which can hold up to 20,000 pounds per year without incurring income tax or capital gains tax. The UK's tax authority, HMRC, had previously classified crypto ETNs as only available in IFISAs, making last year's decision to lift the ban on retail access redundant. Stratiphy will offer access to three ETNs from 21Shares, covering bitcoin, ether, and a combination of BTC and gold. With 4 million pounds in assets under management for 2,000 clients, Stratiphy's CEO notes that there is significant interest in these products as a way to diversify portfolios with a new asset class that has low correlation to other assets.