Hargreaves Lansdown Launches Bitcoin Trading, Reversing Its Past Stance

Major UK Investment Firm Adds Bitcoin Access

British investment firm Hargreaves Lansdown is now letting retail investors buy bitcoin. This comes nearly a year after the company warned customers that the cryptocurrency was not a suitable addition to their portfolios.

The Bristol-based firm manages nearly £173 billion (over $233 billion) in assets. Its website now lists bitcoin and other crypto exchange-traded notes as available investment options. Exchange-traded notes, or ETNs, are funds that track the price of digital assets and trade on stock exchanges.

Key Numbers and Warnings

• Hargreaves Lansdown manages nearly £173 billion in assets.
• The firm previously stated bitcoin is "not an asset class" and is too volatile for most portfolios.
• The company now warns that crypto ETNs are high-risk and may be volatile.
• In the US, bitcoin ETFs have collectively managed over $100 billion in assets since their launch.

What the SEC Approved

The move by Hargreaves Lansdown follows a similar shift in the United States. The US regulator, the Securities and Exchange Commission (SEC), approved bitcoin exchange-traded funds in 2024. This happened after a decade of rejecting such products. The funds saw the most successful launch in ETF history, driven by investors who previously could not easily buy exposure to bitcoin.

Why This Shift Matters

Hargreaves Lansdown’s decision highlights a growing trend among major financial institutions. What was once dismissed as too risky is now being offered to regular investors. The firm's previous stance was that bitcoin should not be relied upon to help clients meet financial goals. Its current offering suggests it sees value in providing access, even with strict risk warnings.

Sources

• Bitcoin Magazine