After AMF Approval, Coinshares Acquires Napoleon Asset Management Firm

After AMF Approval, Coinshares Acquires Napoleon Asset Management Firm

July 5, 2022 0 By Jeanine Sanchez

The oldest crypto investment firm in Europe, Coinshares, has completed its acquisition of an asset management firm (Napoleon asset manager). Following this acquisition, Coinshares’ products and services can now be available for its customers in Europe. Napoleon received its AIFM (alternative investment fund manager) license three years ago.

This license was the key that attracted Coinshares to making this acquisition. Coinshares’ purchase is surprising given the present crypto market conditions. Coinshares’ comment following the purchase was that the acquisition falls in line with its objective of expanding its services into the European scene.

Also, it aligns with its goal of only offering its products and services in a regulated environment. Most of Coinshares’ products and services are offered in a regulated environment. The crypto asset manager has strongly supported running the crypto industry under a strong regulatory environment.

There are scarcely many asset management firms with the AIFM license. It is one of the most difficult licenses to obtain by any asset management firm. Hence, Coinshares became keener to acquire Napoleon because it has the AIFM license.

This purchase will strengthen Coinshares’ position as a dominant force in the crypto asset management space. Coinshares already has various crypto exchange-traded products (ETPs). Through this new accomplishment, it can extend these ETPs across Europe.

Coinshares had to wait for some months to complete this purchase. The purchase needed the approval of France’s financial regulator, the Autorite Des Marches Financiers (AMF). Coinshares had earlier purchased the Napoleon group last November.

But it couldn’t include the purchase of the Napoleon asset management into the purchase without the AMF approval. The AMF finally approved the purchase on June 29. However, the acquisition was also fast because Coinshares had already completed a sale and purchase agreement with Napoleon in June 2022.

Coinshares Keeps Expanding

the Napoleon asset management firm operates out of Paris. It started operations in 2018 following the ICO sale of its native tokens (NPX). Despite having a France incorporation, Napoleon was among the first set of asset management firms in Europe with funding through the ICO.

Napoleon launched its bitcoin fund around mid-2019. The purchase is proof of Coinshares’ prudent management. Coinshares is making expansion efforts while many crypto firms are downsizing or crashing altogether. Coinshares’ chief executive stated that the present market conditions are an opportunity for the company to make various purchases at bargain discounts.

However, these purchases must align with the company’s objectives. The Coinbase CEO further adds these purchases will enable Coinshares to become a truly global asset management firm.

He also said Coinshares would continue to lend its support for crypto regulation. According to him, it is difficult for the crypto space to grow unless it is regulated. Napoleon CEO, Jean-Charles Dudek, believes the purchase will further strengthen the bond between the two companies.