The Financial Conduct Authority (FCA) has published a policy statement summarising a consultation feedback (Consultation Paper (CP)19/22 – Prohibiting the sale to retail clients of investment products that reference cryptoassets), setting out the FCA final policy position. This policy statement bans the sale to retail clients of investment products that reference crypto-assets.
The FCA is prohibiting the marketing, distribution and sale in or from the UK to all retail clients, of derivatives and exchange traded notes (ETNs) that reference certain types of unregulated, transferable crypto-assets. The rules will come into force on 6 January 2021.
Main actors affected include:
– firms issuing or creating products referencing crypto-assets;
– firms distributing products referencing crypto-assets, including brokers, investment platforms, and financial advisers;
– firms marketing products referencing crypto-assets;
– operators of trading venues and platforms:
– retail consumers and consumer organisations.