CoinShares Announces a Loss of Over $21 Million Due to Terra Collapse

CoinShares Announces a Loss of Over $21 Million Due to Terra Collapse
Cryptocurrency News
Like? Do Rank It! Likes

Coinshares – the largest digital asset investment group in Europe – has published its quarterly financial report.

In it, the company laid out its performance during the past 3 months and its anticipated ventures for the next quarter.

One-Off Loss Due to Terra Collapse Kept in Check

Unsurprisingly, the asset management firm announced a significant loss incurred by its investment in Terra and Luna. However, the firm weathered the storm well due to wise investment strategies.

According to Jean-Marie Mognetti – the CEO of CoinShares – the company remained resilient despite the current market conditions.

“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. The financial impact of this episode, despite being relatively small when compared to the losses incurred by other players in our industry, has, of course, had a material impact on our quarter.”

Going forward, Mognetti stated that the past quarter saw CoinShares take an adjusted EBITDA loss of ?8.2 million – and a total comprehensive loss of ?0.1 million. However, the total revenues for the current fiscal year are currently still flying high, with a comprehensive income of ?20.1 million and an adjusted EBITDA of ?10.5 million.

Planning for the Future

Although the quarterly performance was obviously less than stellar, it’s important to note that it still vastly outclasses companies that have been widely discussed for the past couple of months.

No withdrawal limits, talks of buyouts, and the like have been talked about within the community. Instead, CoinShares announced it would be the one acquiring Napoleon Asset Management, following the green light received from French regulators.

CoinShares also plans to list its shares on NASDAQ. Additionally, the company obtained an AIFMD license – which certifies that it adheres to one of the most stringent financial regulations in the European Union.

Mognetti has also made it clear that the company’s analysts have reviewed the risk profile of all investments. As a result, CoinShares will take on a defensive stance, as it is determined to end the year on a positive note.

“CoinShares has sufficient resources to navigate the markets during this volatile time thanks to an effective strategy, a robust balance sheeta and a seasoned, world-class team.”

Overall, the quarterly report went to show that even if losses are incurred, a well-run investment company should be able to overcome them without too much hassle.

Crypto Daily - Crypto And Financial News 11/08/2022 Ripple Buying Celsius?
japan eu eth/usd
5 hours ago

In Todays Headline TV CryptoDaily News: BitPay partners Cardlytics for cash back rewards. BitPay, the world’s largest provider of Bitcoin and cryptocurrency payment services, added a reward program to its BitPay Prepaid Card. Cardlytics, a cash-back rewards platform, is managing the rewards where the BitPay cardholder automatically receives cash back on purchases. Hackers have stolen $1.4 billion this year using crypto bridges. Crypto bridges, which link blockchain networks together, have become major targets for cybercriminals. A total of around $1.4 billion has been lost to breaches on cross-chain bridges this year, according to figures from blockchain analytics firm Chainalysis. Ripple Labs 'interested' in bankrupt crypto lender Celsius' assets. San Francisco-based blockchain payments company Ripple Labs Inc is interested in potentially purchasing assets of bankrupt crypto lender Celsius Network, according to a company spokesperson. BTC/USD exploded 2.9% in the last session. The Bitcoin-Dollar pair exploded 2.9% in the last session. The Stochastic indicator is giving a negative signal. Support is at 22289.6667 and resistance at 24337.6667. The Stochastic indicator is giving a negative signal. ETH/USD skyrocketed 7.5% in the last session. The Ethereum-Dollar pair skyrocketed 7.5% in the last session. According to the CCI, we are in an overbought market. Support is at 1599.2733 and resistance at 1841.3733. The CCI points to an overbought market. XRP/USD skyrocketed 2.6% in the last session. The Ripple-Dollar pair skyrocketed 2.6% in the last session. The MACD is giving a negative signal. Support is at 0.3499 and resistance at 0.3887. The MACD is currently in negative territory. LTC/USD skyrocketed 4.3% in the last session. The Litecoin-Dollar pair gained 4.3% in the last session after rising as much as 5.2% during the session. The Stochastic-RSI is giving a negative signal. Support is at 55.5833 and resistance at 64.6433. The Stochastic-RSI is currently in negative territory. Daily Economic Calendar: IE Consumer Price Index The Consumer Price Index is a measure of price movements made by comparing the retail prices of a representative shopping basket of goods and services. The Irish Consumer Price Index will be released at 10:00 GMT, Japan's Foreign Investment in Japan Stocks at 23:50 GMT, the US Continuing Jobless Claims at 12:30 GMT. JP Foreign Investment in Japanese Stocks Securities investment referrers to bonds issued in a domestic market by a foreign entity in the domestic market’s currency. US Continuing Jobless Claims The Counting Jobless Claims measure the number of individuals who are unemployed and are currently receiving unemployment benefits. JP Foreign Bond Investment The Foreign Bond Investment refers to bonds issued in a domestic market by a foreign entity in the domestic market’s currency. Japan's Foreign Bond Investment will be released at 23:50 GMT, the US Initial Jobless Claims at 12:30 GMT, the Irish HICP at 10:00 GMT. US Initial Jobless Claims The Initial Jobless Claims is a measure of the number of people filing first-time claims for state unemployment insurance. IE HICP The HICP is a measure of price movements or inflation harmonized across EU Member States. It is similar to the national Consumer Price Indices (CPI). Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

BlackRock announces the launch of a new private spot Bitcoin trust
18 hours ago

The move comes one week after its partnership with Coinbase to provide institutional clients with crypto trading access.