FalconX Acquires 21Shares in Crypto ETF Expansion
FalconX acquires 21Shares, the $11 billion issuer behind ARKB and TETH.
Crypto prime brokerage FalconX has acquired 21Shares, one of the world’s largest crypto ETF issuers, for an undisclosed sum.
21Shares oversees roughly $11 billion across 55 listed products globally. Nearly half of that total sits in the $5 billion ARK 21Shares Bitcoin ETF (ARKB), one of the first U.S. spot bitcoin ETFs to launch in January 2024 alongside the iShares Bitcoin Trust (IBIT). Another $40 million is held in the 21Shares Ethereum ETF (TETH), the firm’s only other U.S.-listed product currently.
Outside the U.S., 21Shares runs a broad lineup of crypto ETPs in Europe offering exposure to tokens such as Solana, Cardano, and Chainlink. The company has also filed to launch additional U.S. ETFs, including a proposed spot Solana ETF and a pair of crypto index funds.
FalconX, valued at $8 billion in a 2022 venture round, provides institutional crypto services spanning trading, financing, and custody. The firm is reportedly exploring a public listing in the coming months.
Under the deal, 21Shares will remain independently managed within the FalconX group, and none of its existing ETFs will change their investment objectives, the companies said.
The firms plan to launch crypto funds built around derivatives and structured products, The Wall Street Journal reported.
