London-listed IG Group introduces crypto trading targeting retail investors

IG Group has introduced crypto trading services targeting retail investors. The London-listed trading and financial offerings firm said retail investors can trade up to 31 crypto assets. IG Group stated that crypto investors can trade digital assets such as Bitcoin, Ethereum, certain meme coins, altcoins, and XRP.

IG Group, a London-listed financial services firm, has launched spot crypto trading. The company said the new trading services will benefit retail investors. IG Group revealed that the new offering will expand its current contrast for differences (CDFs) services.

The firm said retail investors will be able to trade 31 digital assets, such as XRP, Bitcoin, and Ethereum. IG Group also revealed that traders can also access certain meme coins and altcoins.

IG Group partners with Uphold to offer spot trading

IG Group said Uphold Exchange will offer infrastructure and compliance. According to its website, Uphold is regulated in both the UK and the US. IG Group said Uphold will offer pricing data for the digital assets.

The London-listed company also revealed that Uphold will manage all crypto transactions made by retail investors on the platform. IG Group said Uphold, the US-based company, will also act as the custodian for the crypto assets held by the retail investors. 

The UK-listed firm said the new crypto trading services will be offered across the IG Invest app and the IG platform. IG Group added that retail customers can switch from digital assets accounts to other user accounts, including stock trading.

The company reiterated that the Financial Services Compensation Scheme will not cover digital assets held with the US-listed firm. IG Group also said the spot trading offerings will be limited to fully paid trading positions with no leverage.

Michael Healy, the Managing Director of IG Group, said introducing crypto trading for retail investors in the UK was a major milestone for the country. Healy also said launching crypto trading in the country was a huge moment for the company. The managing director said UK retail consumers will henceforth buy, sell, and hold crypto assets with an established business.

Healy said that customer demand in the UK is nearing a tipping point. The MD explained that traditional account holders want direct exposure to crypto options such as Ethereum and Bitcoin. Healy added that retail investors want exposure to a growing list of altcoins such as Dogecoin, Solana, and the meme token DogWifhat.

The UK shows progress in digital assets regulations

IG Group launched a new crypto offering five weeks after the UK Treasury  published guidelines to bring digital assets under existing consumer protection, market abuse, and capital regimes. Rachel Reeves, the Chancellor of the United Kingdom, said the new requirement would boost investor confidence. 

According to a survey by the United Kingdom Financial Conduct Authority (UK FCA) published in August 2024, 12% of adults in the UK already owned crypto assets, up from 4.4% in 2021. About 93% of consumers were aware of crypto assets. Many respondents opted for cryptocurrencies as part of their wider investment portfolio. 

In early 2021, IG Group stopped offering retail digital assets services after the UK FCA temporarily banned crypto derivatives.

On May 28, the UK FCA announced a public consultation on proposed new guidelines targeting stablecoin issuers and digital assets custody providers. In April, the UK government released general guidelines for digital assets like Ethereum. The government said the draft regulations aimed to protect digital asset investors from potentially risky investors and scams.  

A report by Gemini revealed that digital asset adoption in the UK was booming. The report showed that the UK saw a massive hike in new digital asset owners in the last year, outpacing Europe. About 49% of UK respondents said clearer crypto regulations would help promote trust.

Roughly 38% of UK consumers without digital assets revealed that regulatory uncertainty was the main barrier to crypto buying.

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