BlackRock, the world's largest asset manager, has successfully registered with the UK's Financial Conduct Authority (FCA) to act as a regulator for iShares Digital Assets AG, an issuer of crypto-backed Exchange Traded Products (ETPs).
FCA Approval for BlackRock
The approval, confirmed on the FCA's website, allows BlackRock to facilitate crypto transactions for ETP subscriptions and redemptions but does not allow it to directly accept new retail clients.
Capabilities and Limitations
With this registration, BlackRock will be able to: - Organize crypto transactions between issuers and authorized participants. - Support trading of iShares Digital Assets ETPs.
However, the asset manager will not be allowed to: - Onboard new retail customers for crypto-related services. - Operate automated crypto-to-fiat exchange services without explicit regulatory approval.
A New Era for Crypto in the UK
BlackRock joins firms like Coinbase, which also received FCA registration earlier this year, within a broader UK crypto regulatory framework set to further define how traditional financial institutions engage with digital assets.
BlackRock's registration with the FCA is a significant step in the company's increasing commitment to the crypto industry and part of a broader movement towards establishing a regulated crypto era in the UK.
