Bitcoin and Gold ETP Lands on LSE as U.K. Crypto Market Reopens

21Shares has listed a new exchange-traded product (ETP) on the London Stock Exchange (LSE) that combines exposure to Bitcoin and gold. The product, named BOLD, is available in British pounds (BOLD) and U.S. dollars (BOLU) and aims to offer investors a balanced approach to digital and traditional asset allocation according to reports. The launch comes after the U.K. lifted a retail ban on crypto ETPs, enabling broader access to digital assets for local investors as reported. The ETP is physically backed and rebalances monthly, aiming to reduce volatility while capturing Bitcoin's growth potential according to analysis.

The BOLD ETP allocates its assets based on the inverse historical volatility of Bitcoin and gold. As of January 12, 2026, the product held 65.85% in gold and 34.15% in Bitcoin. This allocation allows the portfolio to adjust dynamically to market conditions, with lower volatility assets receiving higher weight. The strategy is designed to offer a balanced risk profile for investors according to market analysis.

The ETP is backed by institutional custodians for both gold and Bitcoin holdings. Gold is held by JPMorgan, while Bitcoin is secured through Anchorage Digital Bank and Copper Technologies as detailed. The product has an annual management fee of 0.65% and a net asset value of $50.30 as of January 13.

Why Did This Happen?

The U.K. Financial Conduct Authority (FCA) lifted a four-year retail ban on crypto ETPs in October 2025, allowing products like BOLD to enter the market according to reports. This regulatory shift has increased demand for diversified crypto exposure among retail and institutional investors. The move aligns with the U.K.'s broader strategy to regulate digital assets while supporting innovation in the financial sector as noted.

Retail investors now have access to regulated crypto products through standard brokerage accounts and tax wrappers such as ISAs and SIPPs according to market analysis. This development has expanded the U.K. into one of Europe's fastest-growing crypto ETP markets. In December 2025 alone, crypto ETNs on the LSE recorded $280 million in trading volume, placing the U.K. as the third-largest market for such products in Europe according to data.

How Did Markets React?

The launch of BOLD has been well-received, with asset managers like BlackRock, Bitwise, and WisdomTree expanding their crypto product offerings in the U.K. following the regulatory change as reported. As of January 13, 2026, BOLD had $40.1 million in assets under management (AUM), with a Sharpe ratio of 1.79 over three years according to analysis. The product has outperformed both Bitcoin and gold in combined returns since its launch in Switzerland in April 2022 according to data.

Market participants have noted BOLD's potential to serve as an inflation hedge while offering growth from Bitcoin exposure as observed. The product's risk-weighted rebalancing strategy has historically generated additional returns of 5–7% per year on average according to analysis. This approach has allowed BOLD to adapt during volatile market conditions, such as Bitcoin's decline in February 2025, by increasing exposure to Bitcoin in subsequent rebalances according to reports.

What Are Analysts Watching Next?

Analysts are monitoring how regulatory changes in the U.K. will shape the broader crypto ETP landscape. The FCA's ongoing consultation on comprehensive rules for digital assets, including stablecoins, trading, and staking, could further influence product development and investor behavior as reported. The U.K. government's phased regulatory approach may encourage more institutional adoption of crypto-linked products in 2026 according to analysis.

Investor sentiment toward crypto ETPs has fluctuated recently, with $454 million in net outflows recorded for digital asset investment products in the week following the BOLD launch according to data. This shift coincided with a cooling of expectations for a U.S. Federal Reserve rate cut in March 2026. Market observers are watching whether regulatory clarity and product diversification will stabilize or reverse this trend according to analysis.

The U.K. is positioning itself as a hub for regulated crypto innovation. With increased access for retail investors and expanded product offerings, the market could see sustained growth in crypto ETP adoption. BOLD and similar products may play a key role in attracting new investors to the crypto space while managing risk through diversification as reported.