Hargreaves Lansdown Reverses Course, Rolls Out Bitcoin Trading

According to Bitcoin Magazine, British financial services firm Hargreaves Lansdown is allowing retail investors to buy bitcoin, reversing its stance from nearly a year prior when it stated that the cryptocurrency was not an asset class. The Bristol, United Kingdom-based investment firm's website indicates that it is offering bitcoin and other crypto exchange-traded notes (ETNs) to investors. ETNs are investment funds that trade on stock exchanges and track the prices of digital assets.

The development follows the firm managing nearly £173 billion, or over $233 billion, in assets, having previously warned customers against purchasing bitcoin due to extreme volatility. Previously, the firm stated that bitcoin was much riskier than stocks or bonds and should not be relied upon to help clients meet financial goals.

Now, various ETNs tracking bitcoin and other cryptocurrencies are accessible, though the firm continues to warn users that crypto ETNs are high-risk and potentially volatile. Additionally, Bitcoin Magazine noted that the U.S. Securities and Exchange Commission approved bitcoin exchange-traded funds in 2024, which are run by top asset managers and banks such as BlackRock, Fidelity, and Morgan Stanley and collectively manage over $100 billion in assets.