CoinShares Announces Permanent Fee Reduction
CoinShares has announced a permanent reduction in the management fee for its flagship CoinShares Bitcoin ETP (BITC), lowering costs to 0.15%. The change takes effect immediately and positions the product among the lowest-cost physically backed Bitcoin exchange-traded products in Europe.
The Jersey-headquartered digital asset manager said the move reflects structural pricing rather than a temporary promotional discount. Executives framed the decision as part of a broader strategy to expand access to regulated digital asset exposure across traditional brokerage platforms.
BITC Remains Europe’s Largest Physically Backed Bitcoin ETP
BITC is widely regarded as the largest physically backed Bitcoin ETP in Europe by assets under management. The product provides direct exposure to Bitcoin, with each unit backed by underlying Bitcoin holdings rather than derivatives contracts.
The ETP is listed across major European exchanges, including Xetra, SIX Swiss Exchange, Euronext Paris, Euronext Amsterdam, the London Stock Exchange, and Borsa Italiana. This multi-venue presence has contributed to liquidity and institutional accessibility.
Intensifying Competition in Europe’s Crypto ETP Market
The European Bitcoin ETP landscape has evolved significantly over the past year. New entrants have launched competing products, often competing aggressively on fees to attract institutional and retail flows.
By lowering BITC’s management fee to 15 basis points, CoinShares signals confidence in its operational scale and vertically integrated infrastructure. Industry observers note that pricing pressure is accelerating market consolidation around established issuers.
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Leadership Commentary Highlights Long-Term Commitment
Jean-Marie Mognetti, CEO and co-founder of CoinShares, emphasized that accessible pricing must be permanent to support broader adoption. According to company statements, the fee reduction reflects economies of scale achieved over more than a decade of digital asset management operations.
Romain Barrot, head of European ETP products, added that investors increasingly expect institutional-grade structures combined with competitive costs. As the asset class matures, fee compression appears inevitable across major providers.
Institutional Adoption Drives Structural Changes
Europe’s crypto investment market has grown alongside regulatory clarity and institutional acceptance. Asset managers, wealth advisors, and private banks increasingly allocate small percentages of portfolios to Bitcoin exposure.
Physically backed ETPs have become a preferred vehicle for investors seeking regulated, exchange-traded exposure without direct custody risks. As allocations normalize, fee sensitivity rises, especially among long-term holders.
Regulatory Framework Supports Market Growth
CoinShares operates under multiple regulatory jurisdictions, including oversight by the Jersey Financial Services Commission and France’s Autorité des marchés financiers. The firm is also publicly listed on Nasdaq Stockholm and trades on the OTCQX market in the United States.
This regulatory footprint enhances investor confidence compared to unregulated crypto platforms. Market participants often view European ETP structures as a bridge between traditional finance and digital asset markets.
Pricing Trends Reflect Market Maturity
The reduction to 0.15% aligns European pricing closer to U.S. spot Bitcoin ETF competition, where fee compression has been intense. As Bitcoin becomes more integrated into diversified portfolios, cost efficiency becomes central to product selection.
Analysts suggest that the next competitive frontier may involve securities lending revenue sharing, custody transparency, and enhanced liquidity programs. Pricing is only one component of long-term differentiation.
Broader Implications for Digital Asset Investment
Fee reductions by major issuers often signal confidence in sustained asset growth. If inflows remain stable, lower fees can attract incremental capital and reinforce market leadership.
As Europe’s largest physically backed Bitcoin ETP reduces its expense ratio, investors gain cheaper regulated exposure. The move underscores how digital asset products are transitioning from niche offerings to mainstream portfolio components.
