BlockBeats news, on August 6, according to Cointelegraph, the UK's financial regulatory authority lifted the ban on crypto exchange-traded notes (cETNs) for retail investors, allowing individual investors to make decisions at their own risk. This move has received industry support and is seen as a step for the UK to align with the global crypto market and strengthen its position as a digital asset hub.
Last Friday, the UK Financial Conduct Authority (FCA) announced the withdrawal of the ban on retail investors trading cETNs, with the regulatory changes set to take effect on October 8. The ban had been in place since January 2021, citing extreme market volatility and a 'lack of legitimate investment demand.'
The lifting of the cETN ban reflects a shift in the regulatory attitude towards crypto assets. A senior FCA executive stated in a statement that this decision reflects the development of the market and the increased understanding of the public regarding crypto-related products. Although the FCA has lifted the ban on cETNs, the regulatory authority clarified that crypto derivatives are still prohibited.