The U.K.’s Financial Conduct Authority (FCA) has officially lifted its four-year ban on retail access to bitcoin and crypto exchange-traded notes (cETNs).
Starting today, firms can offer retail investors exposure to bitcoin and other cryptoassets through ETNs traded on FCA-approved investment exchanges such as the London Stock Exchange or Cboe UK.
The change came into effect today after months of consultation and signals a more open — though still cautious — regulatory stance toward crypto.
“Since we restricted retail access to cETNs, the market has evolved, and products have become more mainstream and better understood,” said David Geale, executive director of payments and digital finance at the FCA. “In light of this, we’re providing consumers with more choice, while ensuring there are protections in place.”
Unlike exchange-traded funds (ETFs), ETNs are debt instruments that track the price of an asset rather than holding it directly. They allow investors to gain exposure to bitcoin through regulated markets without taking custody of the underlying crypto.
UK market impact and investor interest
According to new research from IG Group, the U.K. crypto market could grow by as much as 20% following the introduction of retail-accessible ETNs. IG’s survey found that nearly a third of U.K. adults would consider investing in crypto via ETNs, with interest strongest among younger investors — about half of those aged 18 to 34.
“Crypto ETNs represent a significant step forward for the U.K. market, opening access to millions of investors who have previously been cautious or excluded,” said Michael Healy, IG’s U.K. managing director. “The ability to hold crypto within familiar, tax-efficient vehicles like ISAs and pensions is a real milestone.”
Analysts say the move brings the U.K. closer to peers such as the U.S., Canada, and the EU, where regulated crypto investment products are already available. However, experts warn that progress must continue if the country hopes to position itself as a true digital asset hub.
From ban to breakthrough
The FCA first banned the sale and marketing of crypto derivatives and ETNs to retail investors in January 2021, citing volatility, valuation concerns, and investor protection risks. The restriction was partially eased in 2024, when professional investors gained access to ETNs backed by bitcoin and ether.
That access expanded further in June 2025, when the FCA began consulting on lifting the retail ban — a process that culminated in today’s formal approval.
For now, the reintroduction of crypto ETNs for retail marks a milestone moment for the U.K. — one that could reignite its ambitions to become a leading global center for digital finance.
“ETNs are just one part of the puzzle,” IG’s Healy said. “To fully unlock crypto’s potential, the UK needs a proper regulatory framework – and it needs it fast, or we risk falling far behind global peers.”
