CoinShares Withdraws Multiple US Crypto ETF Applications — Details

Asset management firm CoinShares has announced its decision to pull the plug on its different crypto exchange-traded fund (ETF) applications with the United States Securities and Exchange Commission (SEC). This move marks a change in the firm’s strategy as it looks away from the slowly-saturating US crypto ETF space.

CoinShares Pulls Plug On Solana, XRP, Litecoin ETFs

On Friday, November 28, CoinShares discontinued its interest in launching multiple spot crypto exchange-traded funds, including the XRP ETF, Solana staking ETF, and Litecoin ETF. The asset manager filed with the US SEC to withdraw its Form S-1 registration statements for these exchange-traded funds.

One of the withdrawal applications read:

The Registration Statement sought to register shares to be issued in connection with a transaction that was ultimately not effectuated. No shares were sold, or will be sold, pursuant to the above-mentioned Registration Statement.

In a bold move, CoinShares sought the SEC’s approval to list spot Litecoin and XRP ETFs in the United States in January 2025. The crypto asset manager then later filed for a spot Solana exchange-traded fund in June, while proposing a staking integration. 

However, CoinShares’ decision to wind down its push for these spot crypto ETFs seems to align with its shift in product strategy for the United States. Earlier on Friday, the digital asset manager announced its “strategic approach” to the United States market while preparing for its public listing in the country.

Jean-Marie Mognetti, CEO and co-founder of CoinShares, said in a statement:

The U.S. market presents a different landscape. Single-asset crypto ETPs have been rapidly commoditized, with the market consolidating around large-scale players, leaving limited opportunities for the differentiation that drives sustainable margins. As a result, this market requires a different playbook, one that leverages our core strengths in new product categories where we can deliver genuine investor value and premium economics.

With the plug already pulled on the spot single-crypto exchange-traded funds, CoinShares said it still aims to launch new products in the US market over the next 12 – 18 months. Some of these products will include crypto equity exposure vehicles, thematic baskets, and actively managed strategies combining crypto and other assets.

Crypto Asset Manager To Focus On ‘Higher-Margin’ Opportunities In US

In his statement, the CoinShares CEO also revealed the plans to further trim its US product list by winding down its Bitcoin Futures Leveraged product (with the ticker BTFX). 

Meanwhile, Mognetti noted that the resources initially allocated to the planned launches of the different single-asset crypto ETFs will now be redirected toward “higher-margin” opportunities.

As Bitcoinist reported in September, the European-based digital asset manager is preparing for its public listing in the US on the Nasdaq Stock Exchange. This initial public offering will come on the back of its $1.2 billion merger with Vine Hill Capital Investments, a special purpose acquisition company (SPAC).