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Hargreaves Lansdown: Bitcoin Has No Intrinsic Value, Not a Real Asset Class
Hargreaves Lansdown, the UK’s largest investment platform, has issued a firm anti-crypto stance, stating that digital assets like Bitcoin should not be included in investor portfolios, according to a report from the Financial Times.
Despite the UK’s regulatory shift to allow crypto-linked exchange-traded notes (ETNs) back into the retail market, the Bristol-based firm argues that Bitcoin “has no intrinsic value” and should not be considered a legitimate asset class.
Hargreaves: Crypto Doesn’t Belong in Portfolios
In its latest statement, Hargreaves Lansdown made it clear that it does not currently support the inclusion of crypto ETNs on its platform. The company cited the need for further risk assessments before deciding whether to enable access to these products. For now, crypto remains off the table for retail clients using its services.
FCA Lifts Ban on Crypto ETNs for Retail Investors
The statement follows a significant regulatory U-turn by the UK’s Financial Conduct Authority (FCA), which this week lifted its January 2021 ban on the sale and distribution of crypto ETNs to retail investors. The original restrictions were based on concerns around volatility, valuation, and investor protection.
Although the FCA has now opened the door for crypto ETNs to be traded on regulated exchanges, the watchdog still warns that these are high-risk investment products and urges caution among retail participants.
The ETNs are expected to start trading later this month, following the completion of the FCA’s review process.
Crypto Adoption on the Rise in the UK
Despite institutional hesitation, crypto ownership in the UK is climbing. According to FCA data from late 2024, 12% of UK adults now hold cryptocurrency assets, a sharp rise from just 4% in 2021.
Earlier this year, the FCA also published a comprehensive roadmap aimed at bringing more structure to the country’s evolving crypto regulatory framework.
