For years, the UK has talked up its ambition to be a global hub for digital assets—while keeping retail investors at arm’s length from much of the market. That stance is now shifting in a meaningful way.
DeFi Technologies (Nasdaq: DEFT) announced that its subsidiary Valour Inc., together with Valour Digital Securities Limited, has received UK Financial Conduct Authority (FCA) approval to offer select digital asset exchange-traded products (ETPs) to UK retail investors through the London Stock Exchange (LSE), starting January 26, 2026.
The approval allows everyday UK investors—not just professionals—to access physically backed Bitcoin and Ethereum staking products through traditional brokerage accounts. In a market long defined by caution around crypto exposure, that’s a notable regulatory milestone.
What’s Been Approved—and Why It Matters
The FCA has approved Valour’s UK base prospectuses for two products:
- 1Valour Bitcoin Physical Staking ETP (ISIN: GB00BRBV3124)
- 1Valour Ethereum Physical Staking ETP (ISIN: GB00BRBMZ190)
Both products are already known quantities on European exchanges, but until now, access on the LSE has been limited to professional investors. The new approval extends that access to UK retail investors, significantly broadening the addressable market.
This move is particularly significant because these are not synthetic or futures-based products. They are physically backed ETPs, meaning the underlying Bitcoin and Ethereum are held directly, with staking rewards reflected in the products’ net asset value (NAV).
In practical terms, UK investors can now gain exposure to crypto assets—and staking yield—without managing wallets, private keys, or interacting directly with decentralized protocols.
From Professional-Only to Retail Access
Valour’s expansion builds on earlier LSE listings aimed at institutional and professional investors. Those included:
- An asset-backed Ethereum Physical Staking ETP
- The world’s first physically backed Bitcoin Staking ETP
Retail approval marks the next phase of that strategy. It reflects a growing comfort among regulators with exchange-listed, fully disclosed, and custody-backed digital asset products—particularly when they operate within established market infrastructure.
For the LSE, it’s another step toward modernizing its product mix. For the UK market more broadly, it signals a gradual thawing of restrictions that have historically pushed retail crypto demand toward offshore exchanges and unregulated platforms.
Staking, Simplified
Staking has long been one of crypto’s most attractive—and confusing—features. Participating directly typically requires technical know-how, operational risk tolerance, and exposure to smart contract or custody risks.
Valour’s ETPs abstract that complexity away.
The Bitcoin Physical Staking ETP offers exposure to Bitcoin with a staking yield component that accrues directly to the product’s NAV. While Bitcoin itself does not natively support staking in the same way as proof-of-stake networks, Valour’s structure is designed to deliver yield through regulated mechanisms, packaged in an exchange-listed wrapper.
The Ethereum Physical Staking ETP provides direct exposure to Ethereum while passing through staking rewards generated by the underlying assets. For investors, the appeal is clear: yield participation without operational overhead.
This structure aligns with a broader trend in digital assets—bringing decentralized finance concepts into familiar financial instruments that regulators and investors already understand.
A Strategic Win for DeFi Technologies
For DeFi Technologies, the approval reinforces its positioning as a bridge between traditional capital markets and decentralized finance.
As the first Nasdaq-listed digital asset manager of its kind, the company has pursued a diversified model rather than relying on a single product line. Valour sits at the center of that strategy, offering exposure to more than 100 digital assets through regulated ETPs across multiple European exchanges.
Johan Wattenström, CEO and Chairman of DeFi Technologies, framed the approval as both a commercial and symbolic milestone. The UK, he noted, remains one of the world’s most influential financial markets. Gaining FCA approval for retail distribution there strengthens Valour’s credibility and expands its reach at a time when investors are increasingly demanding regulated, transparent crypto exposure.
The UK’s Slow but Steady Crypto Reset
The FCA has historically taken a conservative stance on retail crypto products, citing consumer protection risks, volatility, and market complexity. That caution has often put the UK behind jurisdictions such as Switzerland, Germany, and parts of the Nordics when it comes to regulated crypto investment vehicles.
This approval doesn’t represent a wholesale policy reversal—but it does suggest a more pragmatic approach. By allowing exchange-listed, physically backed products with full prospectus disclosures, the FCA is effectively steering retail demand toward safer, regulated channels rather than attempting to suppress it altogether.
It also reflects the growing maturity of crypto ETP structures. Custody standards, transparency, and product governance have improved significantly over the past few years, making it easier for regulators to draw clear lines between speculative, opaque offerings and institutional-grade investment products.
Competitive Landscape: Crowded, but Uneven
The European crypto ETP market is already competitive, with issuers like 21Shares, WisdomTree, CoinShares, and ETC Group offering a range of products. However, staking-enabled ETPs remain relatively scarce—particularly ones approved for retail investors in major financial centers like London.
Valour’s early-mover advantage in physically backed staking products could prove meaningful, especially as yield becomes a more prominent factor in digital asset allocation decisions. As traditional interest rates normalize and crypto markets mature, investors are increasingly comparing crypto yields to conventional income-generating assets.
That comparison favors products that are simple, regulated, and exchange-listed.
Beyond Valour: The Broader DeFi Technologies Platform
While Valour is the headline act in this announcement, it’s only one part of DeFi Technologies’ broader ecosystem. The company also operates:
- Stillman Digital, a digital asset prime brokerage focused on institutional execution and custody
- Reflexivity Research, providing in-depth digital asset research
- Neuronomics, developing quantitative trading strategies and infrastructure
- DeFi Alpha, its internal arbitrage and trading operation
Together, these units form what the company describes as an “institutional gateway” to decentralized finance—one designed to appeal to equity investors who want diversified exposure without direct token ownership.
The UK approval strengthens that narrative. It demonstrates that DeFi Technologies’ model can operate not just at the edge of finance, but squarely within its most regulated markets.
What Comes Next
Retail access on the LSE opens the door to wider adoption—but it also raises expectations. UK investors are among the most closely regulated and disclosure-focused in the world. Performance, transparency, and operational resilience will matter just as much as novelty.
If Valour’s products gain traction, they could pave the way for additional FCA-approved digital asset ETPs, including broader staking strategies or baskets tied to the decentralized economy.
For now, the message is clear: regulated crypto exposure in the UK is no longer theoretical. It’s listed, tradeable, and—starting in 2026—available to retail investors.
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