CoinShares leverages Valkyrie acquisition to enter US Bitcoin ETF arena

Europe-based asset management firm CoinShares has exercised its option to acquire Valkyrie’s crypto-focused exchange-traded funds (ETF) investment advisory business, expanding its business into the U.S.

In a Jan. 12 statement, CoinShares explained that the deal follows the recent approval of Valkyrie’s spot Bitcoin ETF, the Valkyrie Bitcoin Fund (BRRR), by the U.S. Securities and Exchange Commission (SEC).

According to the asset manager, this move would allow it to expand its digital asset offerings to the U.S. market and align with its vision of becoming a global leader in the digital asset space through strategic acquisitions. CoinShares secured the exclusive option to purchase Valkyrie Funds last November.

As such, CoinShares will integrate Valkyrie’s ETF portfolio, comprising the Valkyrie Bitcoin Fund (BRRR), the Valkyrie Bitcoin and Ether Strategy ETF (Nasdaq: BTF), and the Valkyrie Bitcoin Miners ETF (Nasdaq: WGMI, into its existing assets under management (AUM). The firm stated that these 3 ETFs will add approximately $110 million to CoinShares’ AUM, which currently stands at $4.5 billion.

However, the acquisition still requires legal agreements and board approval. Upon completion, Valkyrie Funds will retain its operational independence.

Jean-Marie Mognetti, CEO of CoinShares, expressed commitment to extending the firm’s European success into the U.S. market. He further emphasized the significance of these acquisitions in supporting the company’s global leadership ambition.

“Our expertise has enabled us to dominate the European market, commanding over 40% of all assets under management in crypto ETPs. Exercising our option to acquire Valkyrie Funds aims at extending our European success in the U.S, offering unparalleled access to regulated digital asset products to American investors,” Mognetti said.

Leah Wald, CEO of Valkyrie Funds, acknowledged CoinShares’ standing as a premier player in the industry and expressed excitement about leveraging the European firm’s capabilities and expertise to advance digital asset investment in the American market.