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CoinShares’ asset under management up by 300% in 2020

  • CoinShares’ AUM up by 300% in 2020
  • The company posted over 100% in profit in Q4
  • CoinShares is Europe’s largest digital asset management firm

Cryptocurrency companies have experienced massive success over the past year as institutional and retail investors swarmed the market. This led to most of the companies recording a massive increase in revenue and profits.

CoinShares records massive profits in Q4 2020

NASDAQ-listed CoinShares revealed its fourth-quarter and 2020 figures earlier today. Europe’s largest digital asset investment firm experienced massive growth last year, with its Q4 profit up by roughly 100%.

According to the earnings report, the company’s assets under management (“AUM”) increased over the year to GBP 1.74 billion, an increase of 336% in 2019 (GBP 0.40 billion). At the end of 2019, the company was handling GBP 400 million but saw the figure increase to GBP 1.74 billion by the end of 2020.

The growth has continued in 2021, as the company now has more than GBP 3 billion in assets under management. This puts it in pole position as the largest cryptocurrency asset manager in Europe.

The increase in assets under management came due to the rising number of institutional investors seeking access to the cryptocurrency market. The report added that “Total comprehensive income of the Group of GBP 18.7 million, an increase of 109% on 2019 (GBP 8.9 million)”

In the fourth quarter of last year, CoinShares experienced over 100% in profit. “Trading gains generated by CoinShares Capital Markets of GBP 5.2 million, an increase of 116% on Q4 2019 (GBP 2.4 million),” the company added.

CoinShares enjoys the 2020 rally

The cryptocurrency market rallied last year despite the global pandemic. Bitcoin hit an annual low below $4,000 before rallying to end 2020 close to the $30,000 mark. It has since gone on to double its price and set a new all-time high above the $61,000 mark.

Thanks to the market rally, several crypto companies have recorded an increase in revenue, asset, and profits. CoinShares’ surge in assets under management can be attributed to the rise in Bitcoin’s price over the past year.

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