DeFi Technologies UK subsidiary gets regulatory approval for ETPs
Valor, UK digital asset company Defy Technologies, has received regulatory approval to offer crypto exchange-traded products to retail investors on the London Stock Exchange.
In an announcement on Monday, DeFi Technologies said the UK's Financial Conduct Authority (FCA) has approved its Valor exchange-traded products linked to Bitcoin (BTC) and Ether (ETH) staking. The offerings, called 1Valour Bitcoin Physical Staking and 1Valour Ethereum Physical Staking, began trading on the London Stock Exchange on Monday.
“The UK is one of the most important financial markets in the world, and these approvals expand our ability to serve UK retail investors with transparent exchange-listed products, which provide direct exposure to the growing digital asset economy,” said Johan Wattstrom, Chairman and CEO of DeFi Technologies.
The company announced in September that it would list a Bitcoin staking ETP on the London Stock Exchange, but this was limited to professional investors, unlike Monday's offering, which was aimed at UK retail investors. The FCA lifted a ban on crypto ETPs for retail investors in October, prompting offers from asset managers such as Bitwise.
Valor's move builds on the company's efforts in Brazil, where it launched an exchange-traded product tied to Solana (SOL) in December. Cointelegraph reached out to Valor for comment, but did not receive a response by the time of publication.
Related: Solana enters Brazil's main exchange as Valor expands regulated crypto access
According to the London Stock Exchange, more than 50 issuers list more than 2,300 ETPs. The exchange recorded around $280 million in trading volume for crypto ETPs in December.
The largest outflow on record for crypto ETPs
CoinShares reported on Monday that exchange-traded products tied to cryptocurrencies saw more than $1.7 billion in outflows last week.
James Butterfill, the firm's head of research, said last week that the $2.2 billion change in revenue was “disappointing to lower interest rates, negative price movements and digital assets not participating in a bearish trade.”
Some of the biggest asset managers offering crypto ETFs and exchange traded funds include Greyscale Investments, Fidelity Investments and BlackRock.
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