Such products are ill-suited for retail customers, says the U.K.’s Financial Conduct Authority, releasing final rules that ban the sale of derivatives and ETNs tied to cryptocurrency-related assets.
The ban goes into effect on Jan. 6, 2021.
At issue, says the FCA, are things like high price volatility, and the difficulty of reliably valuing crypto assets. “We remain of the view that the price of cryptoassets is determined by sentiment and speculative behavior,” says the FCA. Huh? Now do the Nasdaq.