CoinShares gets buying rights to Valkyrie’s crypto ETF unit
European digital asset management firm CoinShares secured the exclusive option to acquire the exchange-traded fund (ETF) unit of its United States competitor Valkyrie Investments, including the Valkyrie Bitcoin Fund that’s awaiting approval in the U.S.
CoinShares said on Nov. 17 that the move helps it expand to the U.S., which could soon become the epicenter for ETF offerings. The firm’s CEO Jean-Marie Mognetti added he hopes the Valkyrie acquisition will help it capitalize on what is currently a fragmented global ETF market.
“The establishment of crypto spot ETPs in Europe since 2015, a development about to be mirrored in the U.S., is the perfect illustration,” said Mognetti. “This disparity in market evolution presents both challenges and significant opportunities.”
Exciting update! @CoinSharesCo secures an option to acquire @ValkyrieFunds , uniting our strengths to create a global one-stop-shop in digital asset investments. This marks a strategic leap towards market leadership and bolsters our strong presence in the U.S.!… pic.twitter.com/0BPNGC518P
— CoinShares (@CoinSharesCo) November 16, 2023
The option will remain active until March 31, 2024. For now, Valkyrie Funds will continue to operate as an independent entity until an acquisition by CoinShares is finalized.
Big News! Valkyrie is set to join the @CoinSharesCo family! We're thrilled about this partnership, uniting our U.S. market insights with CoinShares' global expertise. Together, we're redefining digital asset investment in the U.S. and beyond! https://t.co/jiLOMIm8qR pic.twitter.com/s5URikl8Ci
— Valkyrie (@ValkyrieFunds) November 16, 2023
The two crypto-centric firms also agreed on a brand licensing term where the CoinShares name would be used in future S-1 filings to the Securities and Exchange Commission — used to register a securities offering with the regulator when companies plan to go public.
Related: Bitcoin ETFs will drive institutional adoption in 2024 — Galaxy Digital’s Mike Novogratz
If the SEC approves the Valkyrie Bitcoin Fund, Valkyrie plans to incorporate the CoinShares name into the ETF.
Valkyrie filed for the spot Bitcoin ETF on June 21, along with BlackRock and a host of other financial firms.
CoinShares, which oversees over $3.2 billion in assets under management , expressed its optimism toward the U.S. cryptocurrency ETF market in September and iterated that the economic powerhouse isn’t lagging on digital asset regulation.
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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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