European digital asset investment firm CoinShares International has acquired the ETF index business from Elwood Technologies, expanding its footprint into the equities market.
Launched in partnership with Invesco in 2019, the Invesco Blockchain ETF has more than $1bn in assets. It offers exposure to internationally listed companies generating earnings from blockchain technology.
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The deal will not bring any changes to Elwood Index and will have no impact on Invesco Blockchain ETF.
As part of the transaction, Elwood equity research unit will join CoinShares and benefit from the scale provided.
This team will continue to publish research on cryptocurrency and blockchain-related equities.
Elwood Technologies CEO James Stickland said that the transaction would enable the company to focus on its core mission to provide technology infrastructure for the digital assets market.
CoinShares CEO Jean-Marie Mognetti said that the acquisition marks a milestone for the company as it seeks to accelerate the strategic plan to generate shareholder value and become a global financial technology company.
Mognetti said: “With investors seeking exposure to cryptocurrencies as well as equities benefiting from blockchain technology, the Elwood Index and Invesco are natural partners for CoinShares.”
The collaboration between CoinShares and Invesco is expected to bring traditional asset management and cryptocurrencies closer.
It also expands both companies’ connectivity with institutional investors and allocators.
Invesco head of EMEA ETFs Gary Buxton said: “The ongoing success and growth of the Invesco Elwood Global Blockchain Equity ETF is a testament to the sector’s momentum and the compelling opportunities for investors.
“We have enjoyed our three-year collaboration with Elwood and are looking forward to building on this partnership with CoinShares.”
Recently, CoinShares partnered with 3iQ to launch bitcoin and ethereum ETFs.
The firm also made a strategic investment in Viridi Funds, a new ESG-focused investment management company in the US.
