CoinShares, a leading European digital asset manager, has announced a significant increase in its assets under management (AUM) for the second quarter of 2025. The company's AUM grew to $3.46 billion, marking a 26% increase from the $2.75 billion reported at the end of the first quarter. This substantial growth is attributed to the recovery in digital asset prices, particularly Bitcoin and Ethereum, and strong net inflows into its physical products.

The company reported a net profit of $32.4 million for Q2 2025, translating to earnings per share (EPS) of $0.49. This represents an increase from the $31.8 million net profit in Q2 2024, with EPS rising from $0.47. CoinShares' financial performance was driven by asset management fees of $30.0 million and capital markets gains of $11.3 million.

Bitcoin and Ethereum experienced substantial price increases during the second quarter, rallying 29% and 37%, respectively. These price surges significantly contributed to the growth in CoinShares' AUM. CoinShares Physical, the company's suite of physically-backed digital asset products, saw net inflows of $170 million, marking its second-strongest quarter on record. However, XBT products experienced outflows of $126 million. Despite these outflows, the overall increase in AUM reflects the growing investor interest in physically-backed crypto assets.

CoinShares' Capital Markets business also performed well, generating $11.3 million in income and gains. ETH staking was the largest contributor to the Capital Markets performance, generating $4.3 million during the quarter. Staking continues to provide a dependable and recurring revenue stream for the business. Other activities, including liquidity provisioning, delta-neutral trading strategies, and lending, contributed $1.5 million, $2.2 million, and $2.6 million, respectively.

The company is strategically focusing on expanding its presence in the U.S. market and intends to transition its listing from Sweden to the U.S., following the successful listings of competitors like Circle and Bullish. This move is aimed at capitalizing on a favorable regulatory environment and enhancing liquidity.

Looking ahead, CoinShares anticipates a strong second half of 2025, with Bitcoin reaching an all-time high of $124,128 and Ethereum hitting $4,945 in August. CEO Jean-Marie Mognetti believes that the company's strong AUM and increased market activity will contribute to a promising second half of the year. The company aims to reinforce its European leadership while expanding through the U.S. market.

In addition to strong asset management fees, CoinShares also benefited from a robust treasury performance, with a gain of $7.8 million compared to a loss of $0.4 million in Q2 2024. The company continues to adjust its treasury holdings based on perceived risk and performance to optimize strategic value creation. The BLOCK Index, one of CoinShares' offerings, delivered a 53.7% return, outperforming Bitcoin and traditional equity benchmarks like the S&P 500 and MSCI World.