CoinShares Reports $108 Million in Annual Revenue

CoinShares is an alternative asset management firm based out of Europe that deals in digital assets. For the 4th quarter earnings report of 2023, CoinShares notified shareholders its total asset under management recorded on 31st December 2023 was around $3.81 billion. CoinShares has indicated that the $108.5 million annual revenue for its 4th quarter report for the previous year.

CoinShare Earnings Report

CoinShares noted that for the previous year, the firm generated total revenue of $42.12 million. The firm further stated that its adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) were recorded at $32.51 million.

Meanwhile, the comprehensive income projections for the firm were shared around $19.36 million for the same quarter. In comparison to 2022 earnings, CoinShares managed to make a prompt recovery for the previous year. For the 4th quarter of 2022 the EBITDA was negative $30.11 million and the total income was negative $46.94 million. On the whole, gains and other forms of income in 2023 reached a stable level of positive $108.4 million.

On the other hand, the adjusted EBITDA for the same year was calculated to be around $71.98 million, and the total income stood at $47.95 million. Furthermore, the firm notified investors that is total AUM as of 31st December 2023 stood at $3.81 billion.

Around $3.09 billion worth of CoinShares backs the exchange-traded products (ETPs) issued in cooperation with XBT Provider and CoinShares Digital Securities.

Revenue Recovery and Digital Assets

CoinShares reported a 109% increase in AUM since the end of 2022. The biggest digital asset management firm in Europe has reported that the prices were driven by asset price recovery in 2023.

At the same time, share price recovery was also empowered by net inflows into CoinShares production offerings. The firm published a press release that included a statement from CoinShares CEO Jean-Marie Mognetti.

This statement entailed the correct course of action to refine the trading strategy. At the same time, the executive also shared excitement about validating numbers that proved the effective approach and EBITDA holding for the entire period of 2023 with a greater emphasis during the 4th quarter.

Mognetti noted that the progress is not only about numbers, it is the effort of every business unit and corporate firm that has made the milestone possible.

The firm noted that 2023 is the second-best year thus far. At the same time, he noted that this approach signifies the solidity of strategizing and strength of operations. The CEO also noted that the firm is now working on leveraging this momentum and working towards an international expansion.

At the same time, the firm has placed itself as a one-stop-shop for digital asset trades. As per Yahoo Finance, around 88.82% of CoinShares’s CS.ST holders are its executives while the remaining are distributed among 6 institutional investors.

CoinShares Acquires Bitcoin ETF Issuer Valkyrie

In November 2023, CoinShares began proceeds to acquire Bitcoin ETF issuing firm Valkyrie. On 12th January 2024, CoinShares informed investors that the firm was taking the strategic step to finalize the acquisition, as part of its plan to consolidate its position in US markets.

CoinShares spokesperson spoke with journalists from Cointelegraph last month. The official noted that CoinShares is working on becoming a leading investment firm that specializes in virtual currencies.

The firm stated that expanding in the US was a logical progression with an aim to jump on the Bitcoin spot ETF bandwagon. CoinShares also issued an official statement last month stating that the decision to acquire was heavily influenced by the SEC’s decision to approve Valkyrie’s Spot Bitcoin ETF application that went live on 11th January 2024.

Valkyrie’s ETF listing under the ticker BRRR printed $9 million in shares as per Yahoo Finance projections. Meanwhile, Grayscale the biggest Bitcoin trust issued around $2 billion in shares. The spokesperson for CoinShares further stated that the Valkyrie acquisition will warrant success in the US markets for a European firm.

To this effect, Valkyrie CEO Leah Wald shared her enthusiasm about joining forces with CoinShares with the intent to propel toward a bright future with a focus on the digital asset ETF sector.