TLDR
- FalconX has acquired 21Shares, the world’s largest crypto exchange-traded product issuer, managing over $11 billion in assets across 55 products
- The deal is FalconX’s third major acquisition in 2025, following purchases of Arbelos Markets in January and a majority stake in Monarq in June
- 21Shares will continue operating independently with its current leadership team, and no immediate changes are planned to existing products
- FalconX brings $2 trillion in trading infrastructure and over 2,000 institutional clients to the partnership
- The acquisition comes after U.S. regulators removed barriers to new spot crypto ETFs, though the deal’s financial terms were not disclosed
Crypto trading firm FalconX announced on Wednesday it will acquire 21Shares, the world’s largest issuer of crypto exchange-traded products. The deal’s financial terms were not disclosed.
Founded in 2018 by Hany Rashwan and Ophelia Snyder, 21Shares manages over $11 billion in assets across 55 listed products as of September 2025. The company has established itself as a leading provider of crypto investment products in both European and U.S. markets.
FalconX CEO Raghu Yarlagadda said the companies are responding to growing convergence between digital assets and traditional financial markets. The firm was valued at $8 billion in a 2022 funding round and has facilitated over $2 trillion in trading volume.
The acquisition combines FalconX’s trading infrastructure with 21Shares’ expertise in ETP design and global distribution. FalconX serves more than 2,000 institutional clients through its brokerage platform.
21Shares will operate independently following the acquisition. CEO Russell Barlow will remain in his position, and the company’s leadership team will stay in place.
No immediate changes are planned to existing 21Shares ETPs or ETFs in Europe or the United States. The company’s current product lineup will continue as before.
Barlow said the deal will allow 21Shares to move faster and expand its reach. The combined entity aims to develop new regulated digital asset investment products for institutional and retail investors.
Recent Acquisitions
This marks FalconX’s third major transaction in 2025. In January, the company acquired crypto derivatives platform Arbelos Markets for an undisclosed amount.
In June, FalconX bought a majority stake in Monarq Asset Management’s parent company. The firm has been actively expanding its market presence through strategic acquisitions.
FalconX has also partnered with Crypto.com, Galaxy, and Wintermute as a launch partner for Lynq. The new settlement platform is designed for digital asset and financial institutions.
Regulatory Environment
The deal comes after U.S. regulators removed the last remaining hurdle to new spot ETFs tied to cryptocurrencies. The Securities and Exchange Commission’s updated standards are expected to enable approval of products tracking solana, dogecoin, and other digital assets.
The first bitcoin ETF received approval in January 2024. The Trump administration has provided regulatory clarity for the digital assets sector.
However, the current U.S. government shutdown could affect the SEC’s ability to review and approve new crypto ETF filings. This may delay the launch of additional products.
Earlier in October 2025, the crypto sector experienced its largest selloff after President Donald Trump renewed trade tensions with China. Concerns have mounted over highly leveraged funds tracking crypto and related companies.
FalconX and 21Shares plan to leverage their combined resources to advance adoption of digital asset investment products through regulated channels.
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