Table of Contents
Key Takeaways:
- Regulatory trifecta: CoinShares now holds MiCA, MiFID, and AIFM licenses, a first for continental Europe
- EU-wide expansion: Services immediately passportable to 8 member states, with full EU coverage planned
- Market reaction: CS stock rose 1.7% post-announcement, extending 2024 gains to 46%
- Institutional bridge: Resolves custody/management conflicts that plagued crypto investment platforms
Breaking the Regulatory Glass Ceiling
In an unprecedented occasion for the regulation of crypto assets in Europe, CoinShares Asset Management has become the first continental firm authorized in the EU to be recognized under the Markets in Crypto-Assets (MiCA) framework. The approval, which was granted by the French Financial Markets Authority (AMF) on Wednesday, finalized CoinShares’ regulatory “trifecta” alongside existing Markets in Financial Instruments Directive (MiFID) and Alternative Investment Fund Managers Directive (AIFM) licenses.
This unprecedented combination enables the $9B Assets Under Management (AUM) firm to offer:
- Integrated crypto/traditional asset management under a unified umbrella
- Institutional-level custody segregation, a consistent pain point with crypto
- European passporting commencing from France, Germany, and 6 other European markets.
According to CEO Jean-Marie Mognetti, this combination was uniquely positioned in the market and marked an early inflection point for the industry.
"For many years now, crypto asset managers like ourselves have been operating under a dark grey zone of regulation. MiCA provides us with harmonized market conduct rules, and we are demonstrating to the market that regulatory compliance and innovation do not always have to be mutually exclusive." - Jean-Marie Mognetti, CEO of CoinShares International Ltd.Why MiCA Matters Beyond Compliance
This authorization addresses three critical market gaps:
- Investor protection: Mandates strict capital requirements (€150K minimum) and audit standards
- Service transparency: Ends ambiguous “self-custody” models by requiring dedicated asset managers
- Institutional access: Enables pension funds and insurers to allocate via regulated channels
Interestingly, CoinShares can now segregate client crypto assets from management functions, with a structure that is familiar for traditional finance (TradFi) but somehow rare in digital assets. This suggests that this could unlock the possibility of participation from conservative allocators who have been waiting on the sidelines because of security concerns.
Market Reactions Tell Two Stories
Though CoinShares’ Stockholm-listed shares (CS) experienced a modest rise of 1.7%, at the time of writing, the more significant narrative centers on competitive positioning.
- Advantage over U.S. rivals: BlackRock and Grayscale lack equivalent EU crypto asset management licenses at the moment
- Local competition: Finoa and other similar fintechs are now required to acquire the same extensive licensing as CoinShares.
On the Horizon
With MiCA’s full implementation due December 2025, CoinShares plans to:
- Expand passporting to all 27 EU states
- Launch MiCA-compliant active crypto funds
- Target insurance/pension clients through its Jersey parent
At this point, this seems more about building infrastructure for the next decade of institutional adoption rather than winning a regulatory race. Only time and good practices will tell.
A Template for Crypto’s Maturation
CoinShares’ milestone is a great case study in how crypto-native firms can adapt to regulatory environments without sacrificing innovation. European investors have a fantastic, super secure, and fully regulated way to access something previously unattainable: an on-ramp to digital assets with full compliance and TradFi-grade protections.
Final Thought: This MiCA approval could be seen as the moment the crypto industry went from being the “wild west” to a more established, “Wall Street” type of institution.
For more crypto-regulation stories, read: Bybit Goes Full MiCA: Launches EU-Compliant Platform as Crypto Giants Battle for Europe
