Following approval, Stratiphy is now allowing UK investors to hold cryptocurrency ETNs in a tax-free Individual Savings Account (ISA), as reported by the Financial Times. This development comes after the fintech startup received the necessary approval, enabling investors to personalize their investment strategies with both crypto ETNs and Innovative Finance ISAs (IFISAs).
ISAs permit users to save up to £20,000 annually without incurring income tax or capital gains tax on returns. The UK's tax authority, HMRC, had previously classified crypto ETNs as available only in IFISAs from the start of the current tax year. Stratiphy will offer access to three ETNs from 21Shares, covering bitcoin, ether, and a combined BTC and gold product. With £4 million in assets under management for 2,000 clients, Stratiphy's CEO, Daniel Gold, noted a significant interest in these products, highlighting their potential for portfolio diversification with low correlation to other asset classes.