Swiss firm 21Shares achieves $5 billion in assets under management (AUM) with $3.1 billion from its crypto exchange-traded products. Recent partnership with ARK Invest and Chainlink enhances transparency in Bitcoin ETF.
21Shares AG, a leading global provider of cryptocurrency exchange-traded products (ETPs), has achieved a significant milestone by surpassing $5 billion in assets under management.
According to reliable sources, 21.co, the parent company of 21Shares, has reported that 21Shares now constitutes $3.1 billion of its overall assets under management (AUM).
Founded in 2018 by Hany Rashwan and Ophelia Snyder, the Swiss firm 21Shares introduced the first-ever crypto exchange-traded product with the aim of simplifying the investment process in cryptocurrencies and blockchain technology.
In February, 21Shares joined forces with ARK Invest and Chainlink to enhance transparency in its Bitcoin ETF. This strategic collaboration positioned ARK and 21Shares as the second Bitcoin ETF issuer to provide on-chain accessibility to holdings data.
Matt Hougan, Chief Investment Officer at Bitwise, predicts a significant increase in institutional investment in Bitcoin (BTC) ETFs in the near future. Initial interest has primarily been driven by retail investors, hedge funds, and independent financial advisors. Both investors and analysts anticipate a pivotal moment for Bitcoin comparable to an IPO event.
As of the current writing, the BTC price hovers around the $65,000 mark, having recently achieved a new all-time high (ATH) of $69,045 on March 5. Bitcoin's market capitalization now stands at $1.29 trillion.
However, the journey for the company has not been entirely without challenges. Jupiter Asset Management, boasting assets exceeding $65.8 billion, reversed its decision to invest in the 21Shares Ripple XRP ETP due to regulatory concerns in Ireland.
Ireland's regulatory framework prohibits crypto exposure in UCITS funds, leading Jupiter's Gold & Silver Fund to sell its cryptocurrency ETP holding at a loss. Recent indications suggest that UCITS funds may face restrictions on investing in crypto assets in both Ireland and France.