Fidelity Bitcoin ETP Approved for Trading on the London Stock Exchange

Key Points:

• Fidelity's Physical Bitcoin ETP is listed on the London Stock Exchange and is accessible to UK professional investors.
• The ongoing charge for the Fidelity Bitcoin ETP is 0.35%, dropping from 0.75% in February 2024.
• The listing is in line with new FCA regulations allowing crypto asset-backed ETPs for professional investors.

Fidelity International has listed its Physical Bitcoin Exchange Traded Product on the London Stock Exchange—a first in which an investor can get exposure to the underlying asset directly in the United Kingdom.

Read more: Fidelity Reveals Pension Funds’ Bitcoin Exploration, $4.8 Trillion Manager’s Revelation!

Fidelity Bitcoin ETP Lists on the London Stock Exchange

This thus amounts to a gigantic entry of Fidelity into the cryptocurrency market. Investors in the UK will soon have access to the Fidelity Bitcoin ETP. It commenced trading on the Deutsche Börse Xetra and SIX Swiss Exchange in February 2022. The product is fully collateralized, meaning it will be entirely backed by Bitcoin and track price changes in the cryptocurrency.

Fidelity Bitcoin ETP comes with an ongoing charge of 0.35 per cent, having been cut from its prior rate of 0.75 per cent as of February 2024, making it even more reachable to a higher number of investors.

FCA's New Rules Allow Crypto ETP Listing for Professionals

The listing of Fidelity Bitcoin ETP comes after a recent decision by the Financial Conduct Authority that allows for the establishment of crypto asset-backed ETPs targeting professional investors. The Fidelity Bitcoin ETP enables investors to have easy and regulated investments in Bitcoin without actually holding the cryptocurrency.

According to Stefan Kuhn, head of ETF & Index Distribution at Fidelity International, the recent approval of spot Bitcoin ETFs in the US increased investors' global interest in cryptocurrencies.

The listing comes after a recent raft of crypto ETP and Exchange Traded Note listings on the LSE from a variety of issuers, including 21Shares and WisdomTree. The LSE now boasts multiple options for investors looking for exposure to Bitcoin and Ethereum.