- French Societe Generale, a banking giant managing over $1.7 trillion in assets, has partnered with 21Shares, a leading European crypto asset manager, to act as a market maker for Bitcoin and Ethereum exchange-traded products (ETPs).
- The partnership signifies growing institutional acceptance of digital assets, reinforced by Societe Generale’s broader digital strategy,.
France has been in the forefront of regulating crypto, irrespective of the fact that the country is yet to adopt crypto. In this landscape, signaling growing convergence between traditional finance and the crypto sector, French Societe Generale, a banking giant has partnered with 21Shares, one of Europe’s leading crypto asset managers, to serve as a market maker for a suite of Bitcoin and Ethereum exchange-traded products (ETPs).
Under this partnership announced, Societe Generale will provide liquidity for four of 21Shares’ flagship ETPs, ABTC, CBTC (Bitcoin), and AETH, CETH Ethereum throughout Germany and Eastern Europe. This arrangement also aims to enhance market efficiency, improve execution quality, and ease access for institutional investors to cryptocurrency-based investment products through regulated channels.
Martina Schroettle, head of ETF sales trading (UK) at French Societe Generale emphasized that the bank’s involvement is a long-term strategy to bridge the gap between conventional financial systems and emerging digital assets.
“This marks a significant milestone in our commitment to providing innovative liquidity solutions and enhancing access to a wide range of ETFs and ETPs for our clients,” she said.
Societe Generale is currently the 19th largest banking group in the world, managing over $1.7 trillion in assets. Hence, this crypto-backed partnership is a highlight in France’s evolving digital finance landscape.
Meanwhile, 21Shares welcomed the partnership as a significant validation of its crypto investment products, designed to provide secure and easy access to digital assets.
Alistair Byas Perry, the global head of capital markets and EMEA investment at 21Shares said, “We are thrilled to partner with Societe Generale, a major player in the European ETF space, as we continue to expand access to our ETPs.”
“By bringing liquidity to our Bitcoin and Ethereum ETPs, Societe Generale is helping us advance our mission to deliver the most efficient and trusted crypto investment solutions to the market.”
For 21Shares, which manages a wide array of crypto-based investment products traded across major European exchanges, the involvement of a major TradFi institution like Societe Generale is seen as a milestone in mainstream crypto adoption.
A Broader Digital Strategy for French Societe Generale
This collaboration is an addition to Societe Generale’s growing involvement in the blockchain space. In September 2024, its digital asset arm, Societe Generale-FORGE, partnered with Austrian crypto exchange Bitpanda to promote adoption of its euro-backed stablecoin, EUR CoinVertible (EURCV).
It is also a nod to the growing institutional interest for regulated crypto exposure, especially as Europe’s regulatory environment matures. Recently, the European Union adopted Markets in Crypto-Assets Regulation, widely known as MiCA, to set clear rules to protect its people and economy.
As of December 30, 2024, MiCA regulations are in full force for crypto-asset service providers across the EU, providing a much-needed layer of legal and operational clarity.
The regulatory shift has emboldened traditional banks and asset managers to expand their digital asset offerings with greater confidence.
While French Societe Generale has not yet released a broader roadmap of its blockchain ambitions, its recent developments including the partnership with 21Shares heads in the direction of the bank is positioning itself to play a leading role in the next generation of financial infrastructure.
As institutional interest in digital assets continues to rise, partnerships like this are likely to become a defining feature of the evolving European financial landscape.
