WisdomTree Receives FCA Approval for Bitcoin and Ethereum ETPs

By: Eliza Bennet

WisdomTree has achieved a significant milestone by receiving approval from the Financial Conduct Authority (FCA) to list its new physically-backed Bitcoin and Ethereum Exchange-Traded Products (ETPs) on the London Stock Exchange (LSE). These products, known as WisdomTree Physical Bitcoin and WisdomTree Physical Ethereum ETPs, are anticipated to become available to professional investors starting May 28, coinciding with the lifting of UK restrictions on crypto investments.

The new ETPs will have a management expense ratio of 0.35%, positioning them among the most cost-effective institutional-grade crypto ETPs in Europe. Alexis Marinof, WisdomTree's Head of Europe, highlighted the importance of this regulatory approval, which aims to facilitate better access to digital assets for UK-based professional investors.

Other major issuers like ETC Group and CoinShares are also preparing to list their crypto ETPs on the LSE, complying with the FCA's stringent regulatory requirements. With this move, the UK market could see increased momentum towards regulated and institutional-grade crypto investment products, although these offerings currently exclude retail investors.

WisdomTree's current portfolio, listed across major European exchanges, includes eight physically backed crypto ETPs that offer exposure to individual cryptocurrencies and diversified crypto baskets. This recent approval marks a significant step forward for institutional adoption of crypto assets in the UK.