Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free account, thanks to fintech startup Stratiphy's new offering. Stratiphy, which allows users to personalize their investment strategies, will provide both crypto ETNs and IFISAs.
This development allows users to save up to £20,000 per year without incurring income tax or capital gains tax on returns. Previously, the UK's tax authority, HMRC, had restricted crypto ETNs to IFISAs from the start of the current tax year, rendering 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. According to CEO Daniel Gold, there is significant interest in these products, which offer a unique way to diversify portfolios with a new asset class that has low correlation to other asset classes.