Coin Shares reported $55.2 million in revenues, gains and other income for the first quarter.
The European Crypto Investment Company May 14 The earnings report describes the total as a 216% year-over-year increase.
CoinShares also reported an overall profit of $42.9 million for the first quarter, an eleven-fold increase year-over-year. It reported earnings before interest, taxes, depreciation and amortization (EBITDA) of $43.0 million and adjusted earnings per share (EPS) of $0.63.
The company held $4.0 billion in crypto, including $2.3 billion in Bitcoin (BTC), $1.6 billion worth of Ethereum (ETH), and $35 million in other cryptos.
CoinShares called the first quarter “strongest quarter ever” and said it had outperformed every quarter since 2021 “in almost every aspect.”
ETFs and the American market
CEO of CoinShares Jean-Marie Mognetti described favorable conditions this quarter, including the launch of Bitcoin spot ETFs in the United States, which it called “validation of CoinShares' initial investment thesis and vision,” and the bull market more wide of cryptography.
Mognetti highlighted the challenge of competing with U.S. spot Bitcoin ETF issuers, including financial giants like black rock And loyalty. He said the company aims to break even on its spot Bitcoin ETF while profits come from other products.
CoinShares has commented on its acquisition of the US-based ETF business of Valkyrie Investment. Valkyrie Spot Bitcoin ETF (BRRR) generated $452.5 million in net inflows, while the Valkyrie Bitcoin Futures Leveraged Strategy ETF (BTFX) generated $44.6 million in net inflows.
European activities
The company also discussed its European products and operations
CoinShares Digital Securities, which issues the CoinShares Physical suite of ETPs, saw $51 million in outflows from CoinShares Physical Bitcoin (BITC) during the first quarter. The firm attributed these outflows to hedge funds “exiting a long and popular position in short European ETPs on CMEs.”
The company also reduced BITC fees due to increased competition from US ETFs.
CoinShares Digital Securities saw $35 million in inflows across all other crypto products, with half coming from Ethereum, Solana and Polkadot.
XBT Provider, CoinShares' Nordic-focused crypto ETP, ended the quarter with $3.6 billion. It recorded only $240 million in losses in the first quarter of the year, compared to $400 million in losses in the first quarter of 2021. The company expects further losses if the crypto market uptrends continues.
CoinShares' BLOCK Index, which provides exposure to listed blockchain companies, returned 12.4% and reached $877.3 million in assets under management.