{"id":11330,"date":"2026-01-27T15:22:53","date_gmt":"2026-01-27T15:22:53","guid":{"rendered":"https:\/\/sbwm.uk\/?p=11330"},"modified":"2026-02-02T17:37:17","modified_gmt":"2026-02-02T17:37:17","slug":"crypto-funds-creep-into-isas","status":"publish","type":"post","link":"https:\/\/sbwm.uk\/v3\/news\/crypto-funds-creep-into-isas\/","title":{"rendered":"Crypto funds creep into ISAs\u00a0"},"content":{"rendered":"\n\n

New rules from HMRC now mean a form of crypto investment fund is eligible for ISA investment.<\/b>\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0<\/span><\/b><\/p>\n

In recent years, cryptoassets \u2013 ranging from Bitcoin through stablecoins to Bored Ape Yacht Club non-fungible tokens (NFTs) \u2013 have attracted considerable attention. The arrival of Donald Trump in the White House has boosted the crypto sector, despite stating in his first term that cryptocurrencies were \u201cnot money\u201d and had value that was \u201chighly volatile and based on thin air\u201d. In his second term, however, it is reported that President Trump has personally earned millions of dollars from World Liberty Financial, a cryptocurrency company established by his sons in September 2024.<\/p>\n

On this side of the Atlantic, there is a stark difference in the relationship between Government and cryptoassets. There is no Starmer meme coin to rival the TRUMP meme coin, launched three days before the start of Trump\u2019s second term. When in the role of Chancellor, Rishi Sunak said that he wished \u201cto make the UK a global cryptoasset technology hub\u201d, but three-and-a-half years later, there is little evidence of that happening.\u00a0<\/span><\/p>\n

The UK\u2019s financial regulator, the Financial Conduct Authority (FCA), has spent much of this decade being distinctly cautious about cryptoassets, which were \u2013 and still largely are \u2013 classed as unregulated investments. In October 2020, the FCA announced a ban on a specific form of collective investment, Exchange Traded Notes (ETNs), which were linked to cryptoassets. The regulator said:<\/p>\n

\u201cThe FCA considers these products to be ill-suited for retail consumers due to the harm they pose. These products cannot be reliably valued by retail consumers because of the inherent nature of the underlying assets, which means they have no reliable basis for valuation.\u201d \u00a0<\/span><\/p>\n

Five years later, almost to the day, the FCA lifted the ban on crypto ETNs, prompting HMRC to announce that these funds would be immediately eligible for inclusion in stocks and shares ISAs. However, HMRC also announced that after 5 April 2026, crypto eligibility for stocks and shares ISAs would cease, and crypto ETNs could only be purchased and held in Innovative Finance ISAs, an ISA variant that few ISA managers offer.<\/p>\n

If you are tempted to hold crypto in an ISA, remember what the FCA had to say about cryptoassets back in 2020: they have no reliable basis for valuation.\u00a0<\/p>\n

Investing in shares should be regarded as a long-term investment and should fit in with your overall attitude to risk and financial circumstances<\/i><\/b><\/p>\n

The value of the investment and the income from it can fall as well as rise and investors may not get back what they originally invested, even taking into account the tax benefits.<\/i><\/b><\/p>\n

Investors do not pay any personal tax on income or gains, but ISAs may pay unrecoverable tax on income from stocks and shares received by the ISA managers.<\/i><\/b><\/p>\n

Stocks and Shares ISAs invest in corporate bonds, stocks and shares and other assets that fluctuate in value.<\/i><\/b><\/p>\n

Tax treatment varies according to individual circumstances and is subject to change.<\/i><\/b><\/p>\n

The Financial Conduct Authority does not regulate tax advice.\u00a0<\/span><\/i><\/b><\/p>\n

Market movements may be influenced by multiple unpredictable factors, political events do not reliably indicate future performance.<\/i><\/b><\/p>\n

Cryptoassets are high\u2011risk investments. You should be prepared to lose all the money you invest. They are unlikely to be appropriate for most retail investors.<\/i><\/b><\/p>","protected":false},"excerpt":{"rendered":"

New rules from HMRC now mean a form of crypto investment fund is eligible for ISA investment.\u00a0 \u00a0 \u00a0 \u00a0 \u00a0 \u00a0 In recent years, cryptoassets \u2013 ranging from Bitcoin through stablecoins to Bored Ape Yacht Club non-fungible tokens (NFTs) \u2013 have attracted considerable attention. The arrival of Donald Trump in the White House has […]<\/p>\n","protected":false},"author":2,"featured_media":11331,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"wds_primary_category":160,"footnotes":""},"categories":[160],"tags":[],"class_list":["post-11330","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news","has-post-title","has-post-date","has-post-category","has-post-tag","has-post-comment","has-post-author",""],"builder_content":"","_links":{"self":[{"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/posts\/11330","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/comments?post=11330"}],"version-history":[{"count":0,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/posts\/11330\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/media\/11331"}],"wp:attachment":[{"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/media?parent=11330"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/categories?post=11330"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/sbwm.uk\/v3\/wp-json\/wp\/v2\/tags?post=11330"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}