CoinShares International Limited has announced that, following receipt of approval from the Autorité des Marchés Financiers (AMF), it has acquired Napoleon Asset Management, one of the first ever digital asset managers, licensed under the AIFM Directive since March 2019. The transaction signed and completed on 30 June 2022.
The firm writes that the transaction follows the acquisition of the Napoleon Group last December and fits with CoinShares’ strategy of developing into a full-service digital asset investment and trading group, within a strong regulatory framework.
CoinShares writes that it is a strong advocate of regulation in the digital asset industry and has an extensive list of regulated products and services. The Alternative Investment Fund Manager (“AIFM”) licence is one of the most rigorous European regulations for Asset Managers and is a key component in CoinShares’ ambition to become the leading investment group in the digital asset sector, the firm says. The acquisition of Napoleon Asset Management allows CoinShares to offer AIFM-compliant products and services, in addition to its market-leading position as an issuer of crypto Exchange Traded Products (ETPs).
The AIFM licence carries a passporting regime that allows it to provide and market services and products throughout the European Union. The acquisition will also enhance CoinShares’ offering by leveraging active investment strategies based on algorithmic trading and artificial intelligence for digital assets built by Napoleon Asset Management quants teams.
Jean-Marie Mognetti, Chief Executive Officer of CoinShares, says: “After the recent events in the digital asset sector, it has never been more clear that strong regulation is needed for crypto to thrive. As such we are very pleased to have received this approval from the AMF to acquire Napoleon Asset Management. Bringing the company into our group is a further step in the right direction towards investor protection. We are proud to be one of the most regulated digital asset investment firms in the industry. Our regulated status in a growing number of jurisdictions is one of CoinShares’ principal strengths; it reassures our clients and demonstrates our plans to lead Europe’s digital asset sector.”
Jean-Charles Dudek, Chief Executive Officer of Napoleon Asset Management, says: “We have continued to build upon the synergies between our two businesses since CoinShares acquired the Napoleon Group last December. The integration of Napoleon Asset Management into the group was anticipated at that time but necessarily needed to await consideration by and approval of the change of control by the AMF. Now that approval has been granted, this acquisition by CoinShares will further strengthen the ties between us.”