Summary
- It reported that UK investors will no longer be able to include crypto ETNs in ISAs starting in the next fiscal year.
- It said that HMRC plans to exclude crypto ETNs from ISAs and reclassify them as products under the Innovative Finance ISA (IFISA).
- It reported that, among the 57 platforms approved to offer IFISAs, none have plans to support crypto ETNs, making it harder for investors to obtain tax benefits.
Forecast Trend Report by Period
UK investors will no longer be able to include virtual-asset (cryptocurrency) exchange-traded notes (ETNs) in tax-exempt Individual Savings Accounts (ISAs) starting in the next fiscal year.
According to the Financial Times (FT) on the 26th (local time), HM Revenue & Customs (HMRC) plans to exclude crypto ETNs from the existing list of ISA-eligible investments and reclassify them as products under the Innovative Finance ISA (IFISA), where the application of tax benefits is limited.
Among the 57 platforms currently approved to offer IFISAs, virtually none are known to have plans to support crypto ETNs. As a result, investors are expected to find it difficult to receive tax benefits for these products.
The move is seen as reflecting UK authorities’ conservative approach to crypto-related financial products.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
