WisdomTree Secures FCA Approval to Launch Bitcoin and Ethereum ETPs for UK Retail Investors

Crypto ETPs

WisdomTree has received approval from the UK Financial Conduct Authority (FCA) to offer its cryptocurrency exchange-traded products (ETPs) to retail investors. This approval signals a significant change in access to digital investment opportunities in the UK, as the FCA has lifted its previous ban on such products.

Key Takeaways

WisdomTree's crypto ETPs, including Bitcoin (BTCW/WXBT) and Ethereum (ETHW/WETP), will be available to UK retail investors starting October 20.
The FCA's approval marks a pivotal moment for individual investors looking to invest in digital assets.
WisdomTree's products offer competitive management fees, providing a cost-effective investment option.
The move enhances the UK's position in the growing digital asset market, potentially attracting more retail and institutional investors.

New Opportunities for Retail Investors in Cryptocurrencies

On Thursday, WisdomTree announced that the FCA granted approval for its UK-listed cryptocurrency ETPs, allowing retail investors access to Bitcoin and Ethereum. This change follows the FCA’s recent decision to remove its long-standing restrictions on retail investments in crypto ETPs, a move that significantly expands investment opportunities in the digital asset space for individuals.

From the week of October 20, the WisdomTree Physical Bitcoin (BTCW/WXBT) and WisdomTree Physical Ethereum (ETHW/WETP) will be accessible through UK-regulated investment platforms. Prior to this, these products—listed on the London Stock Exchange since May 2024—were only available to professional investors.

The Push for Wider Access to Digital Investments

This approval corresponds with an increasing interest among investors for regulated ways to invest in cryptocurrencies. According to a recent survey by WisdomTree, 39% of UK savers and investors expressed they would consider investing in crypto if their banks or investment platforms provided that option. By making ETPs available through conventional brokerage accounts, the FCA's decision legitimizes crypto ETPs as a standard investment channel for UK households.

Alexis Marinof, WisdomTree’s CEO for Europe, described the approval as "a landmark moment for UK investors," emphasizing that retail investors can now securely and transparently access Bitcoin and Ethereum through a widely recognized exchange-traded format.

Cost-effective Access to Institutional-grade Crypto

WisdomTree currently manages around $3 billion in crypto ETP assets and has emerged as a leader in issuing institutional-grade, physically backed crypto products across Europe. Their ETPs are known for their competitive management fees. Notably, the WisdomTree Physical Bitcoin ETP offers a management expense ratio (MER) of just 0.15% until the end of 2025, which ranks among the lowest in the industry.

WisdomTree launched its first Bitcoin ETP in 2019, becoming a pioneering issuer of physically backed exposure for European investors. The range has now grown to 11 products available in 15 European markets, including Germany, France, Italy, and Sweden.

Enhancing the UK’s Role in Digital Finance

The FCA's endorsement of WisdomTree's prospectus is not only a win for investor protection but also indicates the UK’s increasing willingness to embrace regulated digital asset investments. This shift is particularly significant as global competition in the crypto market intensifies, with the U.S. and EU vying to attract both retail and institutional participants.

For WisdomTree, this marks a significant step forward in its commitment to bridging traditional finance with the dynamics of the digital economy. For investors in the UK, it opens up a new opportunity in the realm of regulated cryptocurrency access.

U.S. ETF Market Reaches New Heights

While Europe advances in crypto product offerings, the U.S. remains a leader in innovation within this space. The U.S. exchange-traded fund (ETF) market achieved a remarkable $12.70 trillion in assets by the end of September, as reported by ETFGI, reflecting a substantial 22.7% increase from the previous year.

During September, U.S. ETFs attracted $152.50 billion in net inflows—marking the second-highest monthly inflow ever recorded. Year-to-date inflows reached $951.27 billion, already surpassing the entire inflow total for 2024. The ETFGI highlights continual growth, with assets experiencing 41 consecutive months of net inflows, showcasing strong investor interest despite market volatility.

Mainstream Acceptance of Crypto ETFs

Recent data from ETFGI underscores that digital-asset ETFs are transitioning from speculative investments to accepted components of mainstream portfolios. The Grayscale Bitcoin Mini Trust ETF has now grown to manage $5.46 billion, while the Grayscale Ethereum Mini Trust ETF oversees $3.00 billion.

This trend highlights a shift in investment strategy, with many seeing Bitcoin and Ethereum as opportunities for long-term growth rather than short-term speculation. With more than $1.38 trillion in net inflows over the last year, the ETF industry is on track for another record-breaking year in 2025, as adoption of spot crypto products and tokenization-themed ETFs continues to rise.