Crypto ETN Trading To Commence On London Stock Exchange
The London Stock Exchange (LSE) has set May 28 as the commencement date for trading bitcoin and ether crypto exchange-traded notes (ETNs), following its announcement two weeks prior to accept applications.
LSE cited the need to ensure issuers meet specified requirements and allow time for documentation preparation. These ETNs, designated for professional investors only, function as debt securities tracking crypto asset performance, offering investors exposure to crypto assets’ performance. Unlike U.S.-based bitcoin exchange-traded funds (ETFs) accessible to retail investors, UK investors currently lack access to them.
However, the UK Financial Conduct Authority (FCA) has cleared the path for Recognized Investment Exchanges (RIEs) like LSE to list crypto ETNs. Issuers aiming to trade must comply by April 15 and gain approval by May 22, as stated by LSE. Coinbase UK CEO Daniel Seifert and Kraken UK Managing Director Bivu Das view the forthcoming availability of crypto ETNs as a positive development for the UK, advocating for increased consumer choice and the potential future introduction of Bitcoin ETFs in the UK.
Clever Robot News Desk 26th March 2024
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