CoinShares Reports A Loss Of $21.7 Million Related To Terra
On Tuesday, European crypto investment firm CoinShares announced interim results for the second quarter of 2022.
Compared to the previous quarter, the company’s revenue fell from £19.6 million ($23.89 million) to £14.2 million ($17.31 million). At the same time, the company’s net income fell from £26.6 million ($32.42 million) in the first quarter of 2021 to £0.1 million ($0.12 million).
CoinShares explained that the loss was primarily related to its exposure to the Terra (LUNA) ecosystem – now known as Terra Classic (LUNC), which collapsed in May of this year:
“We are pleased to announce a resilient performance during this second quarter, despite the ongoing turbulence in the digital asset arena. While our Asset Management business continued to generate solid profit, the Capital Markets business experienced a one-off loss of £17.7 million following the de-pegging of US Terra…”
Coinshare capital markets generally do not have directional positions and are not directly affected by the Terra Luna crash. However, at the time of the crash, the company had several links to stablecoin TerraUSD, which resulted in an exceptional loss.
The company CEO Jean-Marie Mognetti remains optimistic about the company’s future performance, saying:
“In light of the market turmoil we have reviewed our risk profile and moved into a more defensive mode…
CoinShares has sufficient resources to navigate the markets during this volatile time thanks to an effective strategy, a robust balance sheet and a seasoned, world class team…”
As for the next steps, CoinShares plans to list on the Nasdaq Stockholm Main Market after obtaining an Alternative Investment Fund Managers Directive (AIFMD) license. The company had net assets of £220.8 million ($269.15 million) at the end of the second quarter.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Harold
CoinCu News
Author
News
CoinShares Reports A Loss Of $21.7 Million Related To Terra
On Tuesday, European crypto investment firm CoinShares announced interim results for the second quarter of 2022.
Compared to the previous quarter, the company’s revenue fell from £19.6 million ($23.89 million) to £14.2 million ($17.31 million). At the same time, the company’s net income fell from £26.6 million ($32.42 million) in the first quarter of 2021 to £0.1 million ($0.12 million).
CoinShares explained that the loss was primarily related to its exposure to the Terra (LUNA) ecosystem – now known as Terra Classic (LUNC), which collapsed in May of this year:
“We are pleased to announce a resilient performance during this second quarter, despite the ongoing turbulence in the digital asset arena. While our Asset Management business continued to generate solid profit, the Capital Markets business experienced a one-off loss of £17.7 million following the de-pegging of US Terra…”
Coinshare capital markets generally do not have directional positions and are not directly affected by the Terra Luna crash. However, at the time of the crash, the company had several links to stablecoin TerraUSD, which resulted in an exceptional loss.
The company CEO Jean-Marie Mognetti remains optimistic about the company’s future performance, saying:
“In light of the market turmoil we have reviewed our risk profile and moved into a more defensive mode…
CoinShares has sufficient resources to navigate the markets during this volatile time thanks to an effective strategy, a robust balance sheet and a seasoned, world class team…”
As for the next steps, CoinShares plans to list on the Nasdaq Stockholm Main Market after obtaining an Alternative Investment Fund Managers Directive (AIFMD) license. The company had net assets of £220.8 million ($269.15 million) at the end of the second quarter.
DISCLAIMER: The Information on this website is provided as general market commentary and does not constitute investment advice. We encourage you to do your own research before investing.
Join CoinCu Telegram to keep track of news: https://t.me/coincunews
Follow CoinCu Youtube Channel | Follow CoinCu Facebook page
Harold
CoinCu News
Other Posts
Related Posts
News
$5.3 Billion Terraform Labs Fraud Fine Opposed by The Firm For Being Too Heavy
Knowledge
US Election Predictions: The Effects And Importance Of The New US President
News
