UK lifts ban on retail cryptocurrency ETN, indicating its efforts to become a cryptocurrency hub

On August 6th, according to Cointelegraph, the UK financial regulatory agency lifted the ban on trading notes (cETN) on cryptocurrency trading platforms for retail investors, allowing individual investors to make choices at their own risk. This move is supported by the industry and is seen as a step for the UK to align with the global cryptocurrency market and strengthen its position as a digital asset hub. Last Friday, the Financial Conduct Authority (FCA) in the UK announced the lifting of the ban on retail investors trading cETNs, and the relevant regulatory changes will take effect on October 8th. The ban has been implemented since January 2021, citing extreme market volatility and a lack of legitimate investment demand. The revocation of the cETN ban reflects a shift in regulatory attitudes towards cryptocurrency assets. An FCA executive stated in a statement that this decision reflects the development of the market and the increased public understanding of cryptocurrency related products. Although FCA has lifted its ban on cETN, regulatory agencies have clarified that encrypted derivatives are still prohibited.