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UK regulator bans sale of crypto derivatives and exchange-traded notes to retail users

The FCA said these products are “ill-suited” for retail consumers due to various reasons, including “extreme volatility” of cryptocurrencies.

“This ban reflects how seriously we view the potential harm to retail consumers in these products," said Sheldon Mills, interim executive director of strategy and competition at the FCA. "Consumer protection is paramount here." The ban will come into effect on January 6, 2021. The FCA estimates that retail consumers will save around £53 million (~$68 million) from the ban on these products.

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uk, regulation, crypto, derivatives