FalconX Acquires 21Shares in Landmark Deal to Expand Global Crypto Investment Offerings

Crypto prime brokerage FalconX has announced the acquisition of 21Shares, the world’s largest issuer of crypto exchange-traded products (ETPs), in a move that underscores the accelerating convergence between traditional finance and digital asset markets.

According to the announcement, both firms will collaborate to create regulated digital asset investment products aimed at institutional and retail investors across major global markets.

“21Shares has built one of the most trusted and innovative product platforms in digital assets,” said Raghu Yarlagadda, CEO of FalconX. “We’re witnessing a powerful convergence between digital assets and traditional financial markets, as crypto ETPs open new channels for investor participation through regulated, familiar structures.”

The acquisition combines FalconX’s $2 trillion trading infrastructure and network of over 2,000 institutional clients with 21Shares’ expertise in ETP design, management, and distribution. While the financial terms of the transaction were not disclosed, industry analysts say the deal could significantly reshape the competitive landscape of crypto-backed investment products.

21Shares to Continue Independent Operations

FalconX confirmed that 21Shares will continue to operate independently under its existing brand and leadership team. CEO Russell Barlow emphasized that joining FalconX would accelerate innovation and global expansion.

“Together, we’ll pioneer solutions that will meet the evolving needs of digital asset investors worldwide,” Barlow said.

Founded in 2018 by Hany Rashwan and Ophelia Snyder, 21Shares has become a dominant player in the digital asset space, managing over $11 billion in assets across 55 listed ETPs as of September 2025. Its products trade on major European exchanges, including SIX Swiss Exchange and Deutsche Börse, covering leading assets such as Bitcoin, Ethereum, Solana, and DeFi tokens.

This acquisition marks FalconX’s third major deal of 2025, following the purchase of Arbelos Markets, a crypto derivatives platform, in January, and a majority stake in Monarq Asset Management’s parent company in June.

Industry observers note that FalconX’s expansion strategy mirrors a broader institutional trend toward regulated digital asset infrastructure. The company has also partnered with Crypto.com, Galaxy, and Wintermute to launch Lynq, a settlement platform built with Arca Labs, Tassat Group, and tZERO, designed to tackle regulatory and counterparty risks in crypto markets.

The FalconX–21Shares merger reflects the growing appetite among traditional investors for secure, transparent, and exchange-traded digital products, signaling a new phase in the institutionalization of cryptocurrency investing.

Disclaimer

This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.