FalconX, a leading prime broker for institutional digital assets, has announced the acquisition of 21shares, the Swiss provider of the world’s largest range of exchange-traded funds and products (ETFs/ETPs) for cryptocurrencies.
In one of the most significant transactions in the ETP industry in recent years, the acquisition combines 21shares’ expertise in developing and distributing asset management products with FalconX’s institutional infrastructure, structuring capabilities, and risk management platform. Together, the two companies aim to accelerate the development of tailored investment products that meet the growing demand from institutional and retail investors for regulated digital assets, according to a press release. The companies did not disclose the purchase price. 21shares last raised capital in September 2022 at a valuation of around 2 billion USD, as reported by CVJ.CH.
Global crypto ETP pioneer with Swiss roots
Since its founding in 2018 by Hany Rashwan and Ophelia Snyder, 21shares has grown into a global leader in digital asset ETPs, managing over 10 billion USD across 54 listed products. The company’s proprietary technology platform and well-established partner network form the foundation for its ability to bring new products to market quickly and at scale. FalconX, co-founded by Raghu Yarlagadda, has enabled more than 2 trillion USD in trading volume and serves a global client base of over 2,000 institutions through its crypto-native trading, lending, and technology infrastructure.
“We are witnessing a strong convergence between digital assets and traditional financial markets, as crypto ETPs create new, regulated, and familiar channels for investor participation. FalconX has built the institutional foundation for trading, derivatives, and lending, and extending this infrastructure into public markets through 21shares is a logical next step to enhance market efficiency. For FalconX, this represents a deliberate, long-term investment in building enduring enterprise value across market cycles.” - Raghu Yarlagadda, CEO of FalconX
21shares to remain independent
Following the completion of the transaction, 21shares will continue to operate independently under the FalconX umbrella. Russell Barlow will remain CEO of 21shares and will work closely with the FalconX leadership team to advance a shared vision for the future of the digital asset ecosystem. No changes are planned to the structure or investment objectives of 21shares’ existing ETPs (Europe) or ETFs (US).
This acquisition builds on FalconX’s 2025 strategy to strengthen its global franchise across trading, asset management, and market infrastructure. It follows the integration of Arbelos Markets and the acquisition of a majority stake in Monarq Asset Management earlier this year, as well as expansions in Latin America, APAC, and EMEA.