FalconX Acquires 21Shares to Expand Crypto ETF Business

FalconX announced on Wednesday that it will acquire 21Shares, a leading crypto investment management firm and provider of the world’s largest suite of cryptocurrency exchange-traded funds and products (ETFs/ETPs), in a move to strengthen its position in the fast-growing digital asset ETF market. The terms of the deal were not disclosed.

The acquisition comes just weeks after U.S. regulators cleared the way for a new wave of spot cryptocurrency ETFs, including products linked to Solana and Dogecoin.

Founded in 2018 by Hany Rashwan and Ophelia Snyder, 21Shares now manages over $11 billion in assets across 55 listed products as of September 30, 2025. Its proprietary technology platform and highly established partner network enable fast and scalable product launches, highlighting its position as a global leader in crypto ETPs.

FalconX Targets Growth in Digital Asset Investment Products

FalconX plans to leverage 21Shares’ ETF expertise and its own brokerage platform to advance institutional adoption of crypto investment products.

“With the U.S. SEC streamlining listing pathways, this sets them up to be both the pit crew and the driver as the market moves beyond only Bitcoin and Ether wrappers,” said Michael Ashley Schulman, Partner and Chief Investment Officer at Running Point Capital Advisors.

“21Shares has built one of the most trusted and innovative product platforms in digital assets,” added Raghu Yarlagadda, CEO of FalconX. “Extending FalconX’s institutional backbone into listed markets through 21Shares strengthens market efficiency and builds long-term enterprise value.”

21Shares will remain independently managed under FalconX, with Russell Barlow continuing as CEO. No changes are planned to existing ETF or ETP investment objectives in the US or Europe.

Regulatory and Market Context

While the U.S. Securities and Exchange Commission (SEC) has simplified ETF listing standards, ongoing concerns remain about the agency’s operational capacity amid the government shutdown, which could delay ETF approvals.

Meanwhile, volatility has returned to the crypto sector, following the largest sell-off in years earlier this month after President Donald Trump renewed trade tensions with China.

The acquisition also comes as FalconX builds on its 2025 global strategy, following the integration of Arbelos Markets, a majority stake in Monarq Asset Management, and expansions in Latin America, APAC, and EMEA.

FalconX and 21Shares: Combined Strengths

21Shares brings asset management product expertise, distribution capabilities, and global reach.
FalconX provides institutional-grade trading, credit, and risk management infrastructure.
Together, they aim to accelerate the creation of tailored investment products that meet growing demand for regulated digital asset exposure among institutional and retail investors.

“Our goal has been to make crypto investing available to everyone through industry-leading exchange-traded products,” said Russell Barlow, CEO of 21Shares. “FalconX will enable us to move faster and expand our reach. Together, we'll pioneer solutions that meet the evolving needs of digital asset investors worldwide.”

FalconX’s Expanding Institutional Footprint

Valued at $8 billion during its 2022 funding round, FalconX has processed more than $2 trillion in trading volume and serves over 2,000 institutional clients globally. The acquisition positions FalconX at the center of how institutions and investors access the crypto economy, combining listed market experience with crypto-native infrastructure.