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CoinShares to acquire Valkyrie Funds after US spot bitcoin ETF approval

Published 13/01/2024, 01:59 am
© Reuters. Souvenir tokens representing cryptocurrency Bitcoin plunge into water in this illustration taken May 17, 2022. REUTERS/Dado Ruvic/Illustration/File Photo
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By Lisa Pauline Mattackal

(Reuters) - CoinShares International said on Friday it has exercised an option to acquire Valkyrie Funds, expanding the European digital asset firm's U.S. offerings, after Valkyrie's spot bitcoin exchange-traded fund won the U.S. regulator's approval.

The U.S. securities regulator on Wednesday approved eleven U.S.-listed ETFs, including Valkyrie's, that track the spot price of bitcoin, the world's largest cryptocurrency. They saw a combined $4.6 billion worth of shares trade hands as of Thursday as investors jumped into the landmark products.

The acquisition will see CoinShares take over Valkyrie's approximately $110 million in assets under management, spread across the Valkyrie Bitcoin and Ether Strategy ETF, the Valkyrie Bitcoin Miners ETF and the newly listed Valkyrie Bitcoin Fund, CoinShares said.

© Reuters. Souvenir tokens representing cryptocurrency Bitcoin plunge into water in this illustration taken May 17, 2022. REUTERS/Dado Ruvic/Illustration/File Photo

CoinShares currently manages $4.5 billion in assets across crypto-focused exchange-traded products. The firm's Stockholm-listed shares were last trading down 3.4%.

The acquisition is pending completion of due diligence and final company board approval, CoinShares said.

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