FalconX acquires 21Shares amid $70 billion ETF investment in M&A market

Non-disclosure clauses and synergy effects

In a landmark deal signaling the growing institutionalization of the digital asset market, FalconX, a US-based institutional cryptocurrency brokerage firm, has announced the acquisition of 21Shares, one of the world’s leading issuers of exchange-traded products (ETPs) and cryptocurrency ETFs.

This acquisition combines FalconX's high-performance brokerage and trading infrastructure with 21Shares' global ETF product design and distribution network, paving the way for the creation of next-generation, highly regulated digital asset investment products that go beyond traditional spot ETFs.

FalconX is widely recognized as an institutional liquidity provider, offering 24/7 execution across crypto, derivatives, and structured markets. Meanwhile, 21Shares has extensive experience in product structuring, ETF compliance, and retail/institutional distribution, with a global presence in Europe, the Middle East, and the United States.

The acquisition, valued at “hundreds of millions of dollars” according to sources familiar with the matter, makes FalconX – which recently completed a $150 million Series D funding round at an $8 billion valuation – a controlling shareholder in 21Shares, the Switzerland-based pioneer behind the European BTC ETF and ARK’s Solana ETP. The integration, which will begin in Q1 2026, combines FalconX’s execution engine (which processes $10 billion in monthly trading volume) with 21Shares’ 50+ products listed on the SIX Swiss Exchange and Deutsche Börse, allowing ETF creators to seamlessly hedge OTC exposure.

Building a Comprehensive Digital Asset Suite

The acquisition is not just about strengthening capabilities — it is about redefining the digital asset ETF ecosystem. Look forward to the launch of profitable, options-based, multi-asset crypto ETFs that mirror the structured fund architecture of traditional finance.

FalconX's liquidity network can enable real-time ETF creation and redemption, improving transparency and pricing efficiency in global markets.

21Shares' legal standing (particularly in Switzerland and the EU) complements FalconX's US infrastructure, giving the company legal flexibility across multiple jurisdictions.

This strategic alliance positions the group to be a strong competitor to issuers like Grayscale, BlackRock, and Bitwise — especially as crypto ETFs evolve into multi-asset, actively managed, AI-powered investment products.

Evaluation and Conclusion

FalconX's acquisition of 21Shares marks a new phase in digital finance — where liquidity infrastructure, regulatory compliance, and product design converge into a single institutional layer.

If executed effectively, this merger could create the first true “crypto asset management superarchitecture”: a platform that offers everything from spot trading and derivatives to tokenized yield ETFs and structured bonds.

As the global race for crypto financial integration accelerates, FalconX’s move is more than just a corporate acquisition — it’s a signal that the era of institutional crypto asset management has arrived.

Disclaimer: The information presented in this article is the author's personal opinion in the cryptocurrency field. It is not intended to be financial or investment advice. Any investment decision should be based on careful consideration of your personal portfolio and risk tolerance. The views expressed in this article do not represent the official position of the platform. We recommend that readers conduct their own research and consult with a professional before making any investment decisions.