FCA to lift ban on crypto ETNs to support UK growth and competitiveness

7th June 2025

The Financial Conduct Authority is proposing to lift the ban on offering crypto exchange traded notes (cETNs) to retail investors. Similar products are already available in other countries.

It would mean cETNs could be sold to individual consumers, rather than just professional investors, in the UK, if they're traded on an FCA-approved investment exchange (a recognised investment exchange or RIE).

Financial promotion rules would apply, so consumers get information on the risks and would not be offered inappropriate incentives to invest, in the same way as if they bought cryptoassets directly.

David Geale, executive director of payments and digital finance at the FCA, said:

‘This consultation demonstrates our commitment to supporting the growth and competitiveness of the UK’s crypto industry. We want to rebalance our approach to risk and lifting the ban would allow people to make the choice on whether such a high-risk investment is right for them, given they could lose all their money.’

This is the latest development as the FCA continues to establish a regulatory framework for crypto. The regulator has outlined its crypto roadmap and recently published proposals on stablecoins as well as other aspects of the regime.

The FCA’s ban on retail access to cryptoasset derivatives will remain in place. The regulator says it will continue to monitor market developments and consider its approach to high-risk investments.

The announcement comes alongside other proposals outlined in a quarterly consultation paper from the FCA, to further reduce burdens on firms and support economic growth:

Simplifying reporting requirements for funds’ assessments of value, following feedback to the Consumer Duty Call for Input, which will lead to a significant cost saving for 149 firms who manage more than 3900 funds.
Removing more unnecessary data reporting, that will benefit nearly all firms.