European digital asset manager CoinShares has secured an exclusive option to acquire the exchange-traded fund (ETF) arm of its U.S. rival Valkyrie Investments, including the Valkyrie Bitcoin Fund, which is awaiting approval in the U.S.
Coin stocks explain On Nov. 17, the company said the move would help its expansion into the United States, which could soon become a hub for ETF products. Chief Executive Jean-Marie Mognetti added that he hoped the acquisition of Valkyrie would help it take advantage of the currently fragmented global ETF market.
“The establishment of cryptocurrency spot ETPs in Europe since 2015 is a perfect example of this development, and the United States will also follow suit,” said Mognetti. “This difference in market development creates both challenges and significant opportunities. “
Exciting update! @CoinSharesCo Securing acquisition options @ValkyrieFunds, bringing together our advantages to create a one-stop service for global digital asset investment. This marks a strategic leap towards market leadership and strengthens our strong presence in the United States! … pic.twitter.com/0BPNGC518P
— CoinShares (@CoinSharesCo) November 16, 2023
The option will remain in effect until March 31, 2024. Currently, Valkyrie Funds will continue to operate as an independent entity until the CoinShares acquisition is completed.
Breaking news!Valkyrie is coming soon @CoinSharesCo family! We are very excited about this partnership, which combines our U.S. market insights with CoinShares’ global expertise. Together we are redefining digital asset investing in the U.S. and beyond! pic.twitter.com/s5URikl8Ci
— Valkyrie (@ValkyrieFunds) November 16, 2023
The two cryptocurrency-focused companies also agreed on brand licensing terms, in which the CoinShares name will be used in future S-1 filings with the U.S. Securities and Exchange Commission — used to register with the regulator if the companies plan to go public. Securities issuance.
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If the SEC approves the Valkyrie Bitcoin Fund, Valkyrie plans to include the CoinShares name in the ETF.
Valkyrie filed for a spot Bitcoin ETF on June 21, joining BlackRock and a number of other financial firms.
CoinShares, which manages more than $3.2 billion in assets, expressed optimism about the U.S. cryptocurrency ETF market in September and reiterated that the economic powerhouse is not lagging behind in digital asset regulation.
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