Crypto prime broker FalconX has agreed to acquire 21Shares, the world’s largest issuer of crypto exchange-traded products (ETPs). By joining forces, FalconX and 21Shares aim to develop new regulated digital asset investment products that appeal to both institutional and retail investors, the company said in an announcement shared with Cointelegraph.
“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.”
FalconX brings its $2 trillion trading infrastructure and over 2,000 institutional clients to the table, while 21Shares contributes deep expertise in ETP design and global distribution.
21Shares to Operate Independently Under FalconX
21Shares’ leadership will remain in place following the acquisition. No immediate changes are planned to existing 21Shares ETPs or ETFs in Europe and the US. CEO Russell Barlow stated that the deal with FalconX would allow the firm to “move faster” and expand their reach. “Together, we’ll pioneer solutions that will meet the evolving needs of digital asset investors worldwide,” he said.
Founded in 2018 by Hany Rashwan and Ophelia Snyder, 21Shares has grown into a dominant force in crypto ETPs, managing over $11 billion in assets across 55 listed products as of September 2025.
FalconX's Strategic Expansion
This acquisition marks FalconX’s third major transaction in 2025, underscoring its aggressive growth strategy. In January, the firm acquired crypto derivatives platform Arbelos Markets for an undisclosed amount. In June, FalconX further expanded its capabilities by acquiring a majority stake in Monarq Asset Management’s parent company.
FalconX has also been actively involved in industry infrastructure development. The company has joined Crypto.com, Galaxy, and Wintermute as a launch partner for Lynq, a new settlement platform designed for digital asset and financial institutions. Developed in collaboration with Arca Labs, Tassat Group, and tZERO, Lynq aims to address critical regulatory and counterparty risk challenges as institutional adoption of digital assets continues to grow.