2024-3-11 12:37 |
The London Stock Exchange (LSE) has announced that it will start accepting applications for the admission of Bitcoin and Ethereum crypto Exchange-Traded Notes (ETNs) in the second quarter of 2024.
The decision marks a notable step towards the integration of cryptocurrencies into traditional financial markets.
The Bitcoin and Ethereum ETNs admission detailsThe LSE confirmed its decision through a Market Notice released on March 11, 2024.
Prospective issuers interested in admitting Crypto ETNs to trading on the exchange are encouraged to engage early to mitigate the risk of delays in the admission timetable.
The exact launch date for these crypto ETNs will be confirmed in due course.
The admission process will adhere to the details outlined in the crypto ETN factsheet available on the LSE’s website.
Notably, these crypto ETNs will be exclusively available for professional investors, aligning with regulatory standards and catering to institutional participants.
The growing crypto acceptance in UKThe LSE move follows the UK Financial Conduct Authority’s (FCA) stance, indicating its openness to proposals for cryptocurrency-backed ETNs on recognized investment exchanges.
ETNs, being debt securities, offer exposure to underlying assets such as Bitcoin and Ethereum. By facilitating the trading of these securities, investors gain a regulated avenue to invest in cryptocurrencies without directly holding them.
LSE’s decision also comes amidst the growing popularity of U.S. spot bitcoin exchange-traded funds (ETFs), which have seen significant trading volume since their launch in January.
The cumulative trading volume for U.S. spot bitcoin ETFs surpassed $100 billion, underscoring the strong demand for regulated cryptocurrency investment products.
With the exact launch date yet to be confirmed, stakeholders eagerly anticipate LSE’s communication as the integration of cryptocurrencies within the financial ecosystem continues to gain momentum.
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