London Stock Exchange Open To Bitcoin ETN Listings

The London Stock Exchange will accept applications for cryptocurrency products listing. This includes Ethereum Exchange Traded Notes and Bitcoin ETN. The trading giant said on Monday that trading could start in the second quarter of this year.

The United States Securities and Exchange Commission (SEC) cleared 11 offerings for trading in January, breaking the deadlock in introducing trading financial investors to the Bitcoin ETN or Exchange Traded Fund (ETF) universe. With this significant permission, regulators in other nations, such as Hong Kong and now the UK, are now amenable to a product modification.

In response to the evolving landscape, the London Stock Exchange has announced that applications for the listing of the Bitcoin ETN product will commence by April 8, 2024. To facilitate thorough review and regulatory assessment by the Financial Conduct Authority (FCA), the LSE has suggested May 28, 2024, as the earliest feasible date for the product’s listing.

The FCA announcement states, ‘We’ve opted to initiate the Crypto ETNs market on May 28, 2024, to facilitate the presence of the maximum number of issuers on the inaugural trading day.’ Prior to finalizing this date, the FCA conducted thorough deliberations.

A base prospectus must be approved by the FCA. Keeping in mind that issuers must fulfil the requirements for consideration outlined in the Crypto ETN factsheet, this will also allow issuers who intend to admit securities on the launch date to prepare the necessary paperwork to establish a Crypto ETN programme.

Bitcoin ETN Listing Deadline Spurs Caution

The deadline for expressing interest in having the Bitcoin ETN product listed for the May cohort was set by the LSE at April 15. Investors have become more cautious following the news of the planned Bitcoin ETN product, which has had a noticeable impact on the price of the underlying cryptocurrency.

The SEC has expedited the approval process for 11 spot Bitcoin Exchange-Traded Funds (ETFs). Initially hinted at in a document that is no longer accessible on the SEC’s website, this advancement signifies a notable stride in acknowledging and overseeing cryptocurrency assets.

At the same time, both the FCA and LSE emphasize their dedication to upholding market integrity and combating financial crime within the cryptocurrency realm. They aim to utilize their current authorities to enforce regulatory standards and protect the interests of consumers.

Related Reading | https://btcpolitan.com/race-to-bitcoin-supremacy-blackrocks-etf-set-to-surpass-gbtc-in-just-3-weeks/

The author’s views are for reference only and shall not constitute any investment advice. Please ensure you fully understand and assess the products and associated risks before purchasing.

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