London Stock Exchange Launches UK’s First Spot Bitcoin and Ethereum ETPs

The London Stock Exchange (LSE), the sixth-largest stock exchange globally, has commenced trading Bitcoin (BTC) and Ethereum (ETH) exchange-traded notes (ETNs). This significant development brings new crypto investment opportunities to the market.

The LSE announced, “We are pleased to announce the launch of Crypto ETNs on the London Stock Exchange, effective 28 May 2024, welcoming products from WisdomTreeEU and 21Shares.” This marks a milestone as Bitcoin and Ethereum ETNs are now available for trading on the LSE.

ETNs and Their Backing

ETNs, a type of exchange-traded product (ETP), differ from exchange-traded funds (ETFs). While ETFs are backed by underlying assets, ETNs are debt instruments that track an index. Despite this, WisdomTree’s approved ETPs will be fully backed. “WisdomTree is amongst the first issuers to have its prospectus relating to crypto ETPs approved by the FCA and its 100% physically backed Bitcoin and Ethereum ETPs, WisdomTree Physical Bitcoin and WisdomTree Physical Ethereum, will be listed on the LSE at the earliest date possible which is expected to be on Tuesday May 28th. At the time of listing, these ETPs will only be available to professional investors,” WisdomTree stated.

Similarly, 21Shares also launched four fully backed crypto-asset ETNs. According to their press release, “21Shares, the world’s largest issuer of crypto exchange-traded products (ETPs), today announced the launch of four physically backed crypto-asset exchange-traded notes (ETNs) on London Stock Exchange – available for professional investors. Each ETN is listed in both GBP and USD. This launch marks 21Shares official entrance into the UK market.”

Currently, these ETNs are available exclusively to professional investors, enhancing the LSE’s crypto offerings. All six ETN products began trading on the LSE today, marking a new era in the integration of digital assets into traditional financial markets.