CoinShares, which has $10 billion in assets under management (AUM), has unexpectedly withdrawn its plans to launch three cryptocurrency ETFs in the US, including XRP, Solana, and Litecoin.
This decision surprised many traders, as investor interest in new XRP and Solana-based funds has increased significantly this year.
So what prompted CoinShares to back away from this major ETF movement?
CoinShares Drop XRP, Solana, and Litecoin ETFs
CoinShares voluntarily asked the SEC to withdraw its registration statements for the XRP ETF, Solana Stake ETF, and Litecoin ETF, according to a filing on November 28, 2025.
But CoinShares CEO Jean-Marie Mognetti said he was adjusting course because the U.S. ETF market had become too crowded and dominated by the largest traditional financial firms.
Big institutions like BlackRock, Fidelity, and Bitwise now control over 90% of all inflows into cryptocurrency ETFs.
As part of this change, CoinShares is also reducing its Bitcoin Futures Leveraged ETF, known as BTFX.
The trend started earlier than expected
Last September, when CoinShares announced plans to list in the U.S. via a $1.2 billion Nasdaq SPAC deal, it implied that the U.S. was not “friendly to innovation.”
Now, several months later, the ETF withdrawal looks more like a strategic adjustment than a surprise.
For companies like CoinShares, this means one thing. The catch is that launching a new product almost guarantees low margins and slow growth. So, Mognetti says CoinShares is choosing a smarter path instead of fighting the giants.
CoinShares prepares new product line for US market
Despite CoinShares pulling back on its ETF plans, the company has made it clear that it is not leaving the U.S. market. Instead, they want to change what types of products they bring.
CoinShares said it is preparing new products over the next 12 to 18 months, including:
- Cryptocurrency exposure products
- Cryptocurrency basket by topic
- Active management strategy that mixes cryptocurrency and traditional assets
The product aims to attract a wider range of investors, especially those seeking cryptocurrency exposure without holding the tokens directly.
XRP ETF competition is growing in the US.
The withdrawal comes at a time when several spot XRP ETFs have been launched in the US this year. Funds from Grayscale, Bitwise, Canary Capital, and REX-Osprey have already raised more than $870 million in total assets.
As competition intensifies and margins shrink, CoinShares believes new avenues will allow it to create a product that stands out and avoids being lost in the crowd.
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