Post by : Rameen Ariff

CoinShares, Europe’s leading digital asset investment firm, has officially withdrawn its registration statements with the U.S. Securities and Exchange Commission (SEC) for three planned cryptocurrency exchange-traded products (ETPs). The withdrawn products include the CoinShares XRP ETF, CoinShares Solana Staking ETF, and CoinShares Litecoin ETF, marking the end of the company’s attempt to bring these digital asset ETFs to the U.S. market.

The move comes after CoinShares announced a $1.2 billion merger with Vine Hill Capital Investment in September, a deal aimed at taking the firm public on the Nasdaq. While the exact reasons behind the decision to scrap the U.S. ETF launch have not been disclosed, analysts suggest that market headwinds, combined with recent outflows in digital asset funds, may have prompted the strategic shift.

CoinShares manages roughly $10 billion in assets, making it the world’s fourth-largest digital asset ETP manager and the market leader in Europe with a 34% share. The company has built a strong reputation for offering innovative crypto investment products to European investors, and the withdrawal of its U.S. ETF plans could signal a renewed focus on its domestic market and other strategic growth avenues.

Meanwhile, the U.S. has witnessed several spot XRP ETFs debuting this year. These include offerings from REX-Osprey, Canary Capital, Bitwise Asset Management, and Grayscale Investments. Collectively, these funds have already gathered over $800 million in assets under management, indicating strong investor demand for regulated cryptocurrency ETFs in the United States.

CoinShares’ decision reflects broader challenges facing digital asset investment firms globally, as regulatory scrutiny, market volatility, and changing investor sentiment continue to shape the future of crypto investment products. The firm is expected to provide further updates on its strategic direction in the coming months.

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