UK to end ban on retail investors buying crypto exchange-traded notes
LONDON (Reuters) -Britain's financial regulator is to remove a ban on consumers buying crypto exchange-traded notes (ETNs), ditching its previous position of wanting to keep them out of the hands of retail investors.
The Financial Conduct Authority said on Friday that allowing retail investors to buy ETNs would support growth and competitiveness, in the latest sign that the UK is shifting its approach to crypto as the government seeks to grow the economy and support a digital assets industry.
Last year the FCA had approved the launch of crypto ETNs for professional traders but banned retail investors from access, calling the products "ill-suited" because of "the harm they pose".
"We want to rebalance our approach to risk and lifting the ban would allow people to make the choice on whether such a high-risk investment is right for them given they could lose all their money," David Geale, executive director of payments and digital assets at the FCA, said in a statement on Friday. The proposal will now go out for consultation.
Britain in April published draft laws for bringing cryptocurrencies under compulsory regulation for the first time, aligning it with the United States' approach, rather than the European Union, which has built rules tailored to the industry.
To be sold to individual consumers, the ETNs will need to be traded on an FCA-approved investment exchange, the regulator said.
A ban on retail investors trading cryptoasset derivatives would remain, the watchdog added.
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Yahoo
2 hours ago
- Yahoo
Petrobras targets Africa for oil exploration region outside Brazil
Petrobras, the Brazilian state-run oil company, is setting its sights on Africa as its primary region for oil exploration activities outside its home country, reported Reuters, citing the company's CEO Magda Chambriard. She detailed the strategic intent to expand the company's presence in Africa, highlighting the welcoming approach from the Ivory Coast and interest from other African nations. The Ivory Coast has recently paved the way for Petrobras by offering priority access to nine exploratory offshore blocks. This gesture, described by Chambriard as rolling out the "red carpet", signifies a significant opportunity for the company to delve into deep and ultra-deep waters. Chambriard said: "We are experts in the eastern margin of Brazil. The correlation between Brazil and Africa is unequivocal, so we need to go to Africa." Nigeria, Angola and Namibia have also shown eagerness to collaborate with Petrobras, further cementing Africa's role in the company's global strategy. Petrobras' growing interest in international oil assets, particularly in Africa, comes as the company aims to augment its reserves amid environmental permit delays for new drilling projects off the coast of the Amazon rainforest. Moreover, Petrobras is looking to participate in an oil block auction in India in July as part of its broader exploratory ambitions. Under past leadership, Petrobras concentrated on Brazil's pre-salt fields, which are known for their high productivity. Now, Chambriard is tasked with balancing the economic aspirations of President Luiz Inacio Lula with the necessity of delivering investor returns and navigating the complexities of a global market with lower oil prices. Despite challenges in obtaining environmental permits for drilling in the Amazon's Foz do Amazonas region, Chambriard is optimistic about clearing the final hurdle for a permit by the second half of July. Petrobras has already initiated its plans in Africa, acquiring stakes in offshore oilfields in South Africa and São Tomé and Príncipe in 2023 and early 2024, respectively, with drilling expected to commence this year. Although Petrobras faced a setback when outbid by TotalEnergies for a share in Galp Energia's Mopane field discovery off Namibia's coast, Chambriard remains hopeful for future opportunities, stating: "We hope to be invited" to develop the field. "Petrobras targets Africa for oil exploration region outside Brazil" was originally created and published by Investment Monitor, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
3 hours ago
- Yahoo
Trump announces China will restart rare earth mineral shipments to US after productive call
President Donald Trump told reporters on Air Force One Friday that Chinese President Xi Jinping had agreed to start sending rare earth minerals to the U.S. after halting the shipments in April. Trump held a gaggle on the presidential jet Friday evening, and one reporter asked him just before landing if Xi had agreed to restart the flow of rare earth minerals and magnets to the U.S. "Yes, he did," Trump replied. "We're very far advanced on the China deal." The news comes about a month and a half after China effectively halted exports of seven precious minerals, vital for assembling cars, robotics and defense systems, to the U.S. in a direct strike on America's manufacturing and defense supply chain. Liz Peek: Trump Must Stay Strong, Us Reliance On Chinese Minerals And Drugs Puts Americans At Risk Overseas deliveries of magnets stopped April 4, when new licensing rules took effect, according to The New York Times. Companies are only allowed to export rare earth materials if they obtain special export licenses, which take 45 days to receive. Read On The Fox News App The halt also threatened to undercut Trump's tariff strategy because China produces about 60% of the world's critical mineral supply and processes even more, up to 90%. Putin Says Russia Is Open To Economic Cooperation With Us On Rare Earth Minerals China's mineral halt to the U.S. Defense Department came after Beijing had already imposed sanctions on multiple U.S. military contractors late last year, according to Reuters. Chinese entities were prohibited from engaging or cooperating with them in response to an arms sale to Taiwan, the outlet reported. Trump and Xi had a lengthy call Thursday amid economic and national security friction regarding trade between the U.S. and China. Trump's 'Rare' Price For Us Military Aid To Ukraine Called 'Fair' By Zelenskyy "I just concluded a very good phone call with President Xi, of China, discussing some of the intricacies of our recently made, and agreed to, Trade Deal," Trump said Thursday in a Truth Social post. "The call lasted approximately one and a half hours and resulted in a very positive conclusion for both Countries." Trump said the conversation focused mostly on trade. The call came nearly a week after Trump condemned China for violating an initial trade agreement that the U.S. and China hashed out in May and a day after Trump said Xi was "extremely hard to make a deal with" in a Truth Social post. Fox News' Diana Stancy, Bonny Chu, Danielle Wallace, Morgan Phillips and Reuters contributed to this article source: Trump announces China will restart rare earth mineral shipments to US after productive call
Yahoo
3 hours ago
- Yahoo
Yageo to meet with Japan's Shibaura Electronics in mid-June
KAOHSIUNG, Taiwan (Reuters) -Taiwan's Yageo will meet with Japan's Shibaura Electronics in the middle of this month in Tokyo to discuss cooperation, Yageo's chairman said on Saturday. Pierre Chen was speaking to reporters at an event in Kaohsiung, Taiwan. Yageo, the world's largest maker of chip resistors, announced an unsolicited tender offer for Shibaura Electronics in February, aiming to acquire full control of the Japanese manufacturer that specialises in thermistor technology. Error while retrieving data Sign in to access your portfolio Error while retrieving data Error while retrieving data Error while retrieving data Error while retrieving data
