What happened?
The UK’s FCA reopened retail access to crypto ETNs on Oct 8, ending a four-year restriction and triggering an immediate fee war among issuers. Big firms cut annual charges dramatically — some down to 0.05% — while new listings and trading volumes surged. Regulators also warned firms to avoid incentives and to give clear risk warnings as retail access resumes.
Who does this affect?
Retail investors can now buy London-listed bitcoin and ether ETNs and hold them in tax-advantaged accounts like ISAs, while younger investors are especially interested. Issuers and brokers are affected too: big asset managers compete on price and some brokers are still deciding whether to offer the products. Older, high-fee ETNs aimed at professionals may lose market share as low-cost options attract volume.
Why does this matter?
Lower fees and more competition could make regulated crypto exposure cheaper than many traditional funds, potentially drawing a lot more retail money into the market. Analysts expect the UK crypto investment market to expand — estimates suggest up to about 20% growth — and increased product diversity as more firms enter. That means tighter margins for issuers, faster innovation in products, and greater retail influence on liquidity and price discovery in crypto markets.