Key Highlights
- The FCA approval allows Valour to offer Bitcoin and Ethereum physical staking ETPs to UK retail investors on the London Stock Exchange from January 26, 2026.
- The launch follows the UK’s October 2025 regulatory change lifting the retail ban on crypto ETPs, limited to physically backed BTC and ETH products.
- The move expands regulated retail crypto access amid mixed market sentiment, with recent crypto ETP outflows despite growing institutional adoption.
Valour, the UK subsidiary of Nasdaq-listed digital asset firm DeFi Technologies, has received regulatory approval to offer cryptocurrency exchange-traded products (ETPs) to retail investors on the London Stock Exchange (LSE).
The approval, granted by the UK’s Financial Conduct Authority (FCA), allows Valour to expand beyond professional investors and make its products available to the wider public.
Bitcoin and Ethereum staking ETPs begin trading
The new offerings that have been approved are the 1Valour Bitcoin Physical Staking ETP and the 1Valour Ethereum Physical Staking ETP, which started trading on the LSE on January 26, 2026.
These products offer physically collateralized exposure to Bitcoin and Ether and include staking rewards in their net asset value, allowing investors to earn blockchain-based yields in standard brokerage accounts.
“This is a major milestone for Valour and DeFi Technologies as we continue expanding access to regulated digital asset investment products,” said Johan Wattenstrom, Chairman and CEO of DeFi Technologies.
He further explained that the approval was especially important to the long-term strategy of the company considering that the UK is a financial hub in the world.
UK regulatory shift creates retail opportunity
In October 2025, the FCA removed a decades-old ban that had limited retail access to crypto exchange-traded notes since 2021. The updated framework allowed crypto ETPs to be sold in retail, but only of Bitcoin or Ether, physically backed, and with regulated custodians having cold storage facilities.
These products are not subject to the Financial Services Compensation Scheme under the existing regulations, and investors are therefore at risk of issuer and market risks.
Crypto ETFs will also transfer to Innovative Finance ISAs as of April 2026, as they are now regulated as such. Valour had already floated such products in the LSE, but only professional investors could access it.
The firm is also credited with the introduction of what it has termed as the physically backed Bitcoin staking ETP in the world. Valour has since launched an exchange-traded product based on Solana in Brazil in December, outside the UK.
Market environment and general industry trends
The introduction is timed when the crypto ETP market is of mixed mood. CoinShares reported that crypto-based ETPs experienced over $1.7 billion of outflows last week, a turnaround of robust inflows in the earlier weeks.
According to the Head of Research at CoinShares, James Butterfill, the move was caused by declining expectations of interest rate reductions, poor price action, and disillusionment over the use of digital assets as an inflation hedge.
With the temporary outflows, the largest asset managers, including BlackRock, Fidelity, and Grayscale, are continuously adding more crypto ETFs, indicating that institutional investors have long-term interest.
UK tightens grip on crypto regulation
The approval of Valour is also in line with the wider regulatory involvement in the UK crypto industry. In January this year, Ripple secured FCA permission to conduct itself as an Electronic Money Institution, which will enable it to increase regulated payment services in the country.
The UK regulators should implement a full-fledged crypto regulatory framework by October 2027, which may further define the supply and form of digital asset investment products to retail investors.
Also Read: FCA to Open UK Crypto Licensing Window in September 2026
