Challenges and opportunities of a crypto IPO in a volatile market

For a while now, crypto businesses have been gravitating toward IPOs so as to access a larger pool of capital, gain legitimacy in the market and provide liquidity for investors and early stakeholders. USDC-issuer, Circle, has attempted to go public multiple times, especially as stablecoin adoption grows. But whilst it has not executed an IPO as yet, Circle’s CEO has confirmed to Bloomberg that he is still looking to IPO the company. Regardless, it is still pushing for its IPO plans in Hong Kong. Many other companies such as Blockchain.com, Bitpanda and Ripple have also considered going public; for a crypto business to go public, it typically follows the same path as any company by preparing a data room, finding an underwriter, completing regulatory document filings, etc. And, after regulatory and exchange approvals, the company then promotes the IPO via a roadshow to attract investors. Finally, it launches, issuing tokens or shares on the exchange with some reserved for underwriters.

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