Following approval, UK investors can once again hold cryptocurrency ETNs in a tax-free vehicle, thanks to fintech startup Stratiphy's new offering. Stratiphy's platform allows users to personalize their investment strategies and offers both crypto ETNs and IFISAs. ISAs enable users to save up to £20,000 annually without incurring income tax or capital gains tax on returns.
Recently, the UK's tax authority, HMRC, classified crypto ETNs as IFISA-exclusive from the start of the current tax year. This move rendered last year's decision to lift the ban on retail access to crypto ETNs redundant, as mainstream platforms did not offer IFISAs. Stratiphy will provide access to three 21Shares ETNs: bitcoin, ether, and a BTC-gold combination.
The platform, which launched in August last year, manages £4 million for 2,000 clients and sees significant interest in crypto products as a means to diversify portfolios.