In a significant development for the cryptocurrency market, the London Stock Exchange announced plans to introduce a market for Bitcoin (BTC) and Ether (ETH) exchange-traded notes (ETNs) on May 28, as revealed on Monday.
Starting from April 8, the stock exchange will begin accepting applications for trading these crypto ETNs. However, it’s worth noting that the market’s launch is contingent upon approval from the U.K.’s financial watchdog, the Financial Conduct Authority (FCA), according to the notice.
The move comes following the FCA’s decision earlier in March not to reject requests from Recognized Investment Exchanges (RIEs) seeking to establish a listed market segment for ETNs. Notably, these products will be accessible exclusively to professional investors.
The London Stock Exchange had previously outlined its intention to entertain applications for Bitcoin and Ether ETNs by the second quarter of this year. This step underscores the growing acceptance and integration of cryptocurrencies into traditional financial markets.
Regulatory authorities in the United Kingdom have been taking strides to foster a more crypto-friendly environment, aligning with the government’s ambitions to establish the country as a prominent hub for digital assets. These initiatives aim to provide clarity and regulatory certainty for market participants while enhancing investor protection.
