CoinShares loses £23.5M in 2022, confirms $31M exposure to FTX

abdelaziz Fathi

European cryptocurrency investment firm CoinShares posted fourth-quarter earnings that showed a marked downturn when compared with the third quarter.


Europe’s largest crypto asset manager said combined revenue, gains and other income was reported at £14.5 million, down 29 percent from Q3 2021’s £20.4 million. Additionally, the figure was down by 65 percent when weighed against £41.9 million in the comparable period of 2021.

Taking a full-year perspective, revenue for 2022 was reported at £51.5 million, down by 31 percent from £80.8 million the previous year.

Adjusted EBITDA for the Q4 saw an even bleaker performance, having dropped to a loss of £23.5 million compared to a profit of £32.1 million in 2021. The group’s full year EBITDA also slipped into a negative territory at -£6.5 million compared to a core profit of £121.1 million a year earlier.

CoinShares also confirms its previously-announced exposure to the bankrupt crypto exchange FTX, which was reported at roughly $31 million. Despite this, CoinShares CEO Jean Marie Mognetti said the losses indicate a “limited exposure,” and the firm is still in a state of “robust financial health.” He added that they had materially reduced exposure to FTX ahead of the exchange’s decision to freeze further withdrawals.

“The entire digital asset sector negatively impacted by the unexpected insolvency of FTX and the revelations of widespread fraud that continue in the wake of this unexpected event. Like many others, we did not circumvent FTX’s bankruptcy unscathed. At the time FTX halted withdrawals from its exchange, £26 million of our assets remained there and following FTX’s declaration of bankruptcy it is entirely uncertain when or how much, if any, we will be able to recover,” the statement reads.

CoinShares’ earnings call highlighted the recent shift of the trading venue for the company’s shares from Nasdaq First North Growth Market to Nasdaq Stockholm’s main market.

CoinShares said the move provides investors with new ways to gain exposure to the digital asset class. The approval was conditional upon customary conditions being fulfilled, including liquidity requirements and registration with the Swedish Financial Supervisory Authority.

Trading on the most senior marketplace in Sweden is said to enhance CoinShares’ regulatory profile and credibility as it increases awareness among analysts, prospective investors and the media. It also facilitates investments from institutional players who may be restricted to invest in companies listed on a MTF.

Read this next

Digital Assets

Valkyrie pulls back on Ether futures merge with Bitcoin ETF

Valkyrie Funds LLC will suspend the purchase of Ether (ETH) futures contracts for its Valkyrie Bitcoin and Ether Strategy ETF (BTF.O). Additionally, the firm will unwind any positions in Ethereum that it has already acquired.  

Digital Assets

Hong Kong police arrest 18 in $1.5B billion JPEX fraud

The investigation into the JPEX crypto exchange scandal continues to unfold as Hong Kong and Macau police arrest four more individuals. These arrests, which include individuals considered “relatively close to the core” of the scandal, bring the total number of detentions to 18.

Digital Assets

Gemini tells Dutch users to withdraw assets by November 17

Gemini, the cryptocurrency exchange founded by Cameron and Tyler Winklevoss, announced that it will cease providing services to customers in the Netherlands, citing regulatory requirements imposed by the country’s central bank.

Digital Assets

SEC puts BlackRock, Valkyrie, and Bitwise Bitcoin ETFs on hold

The U.S. Securities and Exchange Commission has delayed its decisions on several bitcoin exchange-traded fund (ETF) proposals, leaving many in the crypto industry feeling pessimistic for any future blessing from the agency.

Digital Assets

Ripple backs out of Fortress Trust acquisition

Ripple has decided to cancel its planned acquisition of Fortress Trust, a custodian company, less than a month after initially announcing the agreement.


France regulators blacklists 21 FX brokers, FuturBTC

France’s financial markets regulator, the Autorité des Marchés Financiers (AMF), today shed light on several unregulated forex brokers representing their offering under several brands. Notably, the AMF has identified only one crypto-assets provider in its latest warning.  

Digital Assets

Flare and Arkham Collaborate for Enhanced Decentralized Data Access

Flare’s blockchain for decentralized data acquisition integrates with Arkham’s Intelligence Platform, offering users advanced analytics and actionable on-chain insights.

Industry News

iFX EXPO International 2023 Successfully Concludes

The most talked about financial event of the year took place in Limassol, Cyprus.

Retail FX

Plus500 Forex Garners Market Attention In The Latest Expert Ranking

Securing the 58th spot in Traders Union’s Best Forex Brokers of 2023 ranking, Plus500, despite its cautionary overall score of 6.3 out of 10, stands out for its stringent regulatory compliance, user-centric WebTrader platform, and a commendable focus on account security, though it lags in providing advanced trading tools and trust management features.