FalconX Acquires 21Shares to Expand Institutional Crypto Fund Offerings
Crypto trading and brokerage firm FalconX has of Swiss-based platform-traded product (ETP) provider 21Shares, in a move aimed at deepening its reach in regulated crypto investment products and accelerating the development of digital-asset funds.
, founded in Zurich in 2018, is one of Europe’s leading crypto ETP issuers, managing over $11 billion in assetsacross more than 50 listed products. The company’s offerings allow investors to gain exposure to digital assets like BTC and ETH through traditional platforms.
FalconX, headquartered in California, serves over 2,000 institutional clients and has facilitated more than $2 trillion in trading volume since inception. The firm said the acquisition aligns with its long-term goal of bridging the gap between traditional financial markets and digital assets.
While the financial terms of the deal remain undisclosed, both companies confirmed that 21Shares will continue to operate under its existing brand and management team.
“We’re witnessing a powerful convergence between digital assets and traditional markets,” said Raghu Yarlagadda, CEO and co-founder of FalconX. “The addition of 21Shares’ regulated product expertise strengthens our ability to deliver institutional-grade investment vehicles in crypto.”
The merger is expected to accelerate the rollout of new crypto-based ETFs and structured products that cater to both retail and institutional investors. FalconX plans to leverage its trading and credit infrastructure alongside 21Shares’ product design and distribution capabilities to expand its global presence.
The acquisition comes amid growing institutional demand for crypto-linked ETFs following the approval of several spot BTC and Ether funds in major markets. Analysts say FalconX’s move positions it to compete with established digital-asset managers as the line between traditional finance and crypto investing continues to blur.
Neither company disclosed when the transaction would close, but regulatory approval processes are reportedly underway in both the United States and Switzerland.
FalconX Expands Institutional Offerings
Alongside its acquisition of 21Shares, , including a 24/7 electronic and OTC options platform for BTC, Ether, and Solana, and the industry’s first ETH Staking Rate Forwards (FRAs) referencing Treehouse’s TESR benchmark.
The new options platform enables round-the-clock trading via a request-for-quote (RFQ) system or API access, combining electronic execution with customized OTC flexibility. FalconX said the upgrade addresses fragmented liquidity and restricted trading hours in the crypto derivatives market, offering institutional clients more efficient and continuous exposure.
Meanwhile, the provide investors with tools to hedge or speculate on staking yields, marking a significant step toward establishing a crypto-native fixed-income layer.
ahead institutional participants include Edge Capital, Monarq, and Mirana, reflecting growing demand for structured yield-based products in the digital asset space.
