Bitpanda is consulting with Citigroup Inc. and JPMorgan Chase & Co., aiming to capitalize on the renewed interest in cryptocurrency.
Bitpanda GmbH, a digital asset trading platform based in Vienna and backed by billionaire Peter Thiel, is currently exploring various strategic options, including the potential for an initial public offering (IPO) in Frankfurt.
In the process of determining what actions to take next, the corporation is reportedly collaborating closely with Citigroup Inc. and JPMorgan Chase & Co., as stated by persons who are acquainted with the situation.
Bitpanda Weighs IPO Options with Citi, JPMorgan Amid Crypto Market Surge
The cryptocurrency exchange Bitpanda, which was founded in 2014 and is based in Austria, is currently assessing the possibilities of a public listing in order to capitalize on the revived interest in the cryptocurrency market.
The company has recruited Citigroup Inc. and JPMorgan to serve as advisors for its potential initial public offering (IPO) process, which could occur in Frankfurt.
Furthermore, sources suggest that a valuation exceeding $4 billion is feasible, with any transfer anticipated to occur in 2025. Additionally, the corporation continues to consider the possibility of a sale, even though current discussions suggest that the plans may be subject to modification.
IPO considerations for the company are in line with favorable trends in the digital assets market, most notably the recent approval of spot Bitcoin exchange-traded funds (ETFs) in the United States.
However, there is also the possibility that a Republican-led administration would adopt a position that is more favorable to cryptocurrency. As of late, the odds of Donald Trump winning have spurred digital asset inflows to a total of $2.2 billion, which has boosted the optimism of the cryptocurrency market.
The likelihood of Donald Trump defeating Kamala Harris has been steadily increasing, partly due to the fact that he is a supporter of cryptocurrency. Only seven days before the elections in the United States, the most recent data from Polymarket positions Trump in the lead with 66.1%, while Harris has 34%.
A favorable performance in the first quarter of this year was the driving force behind the company’s announcement earlier this year that it anticipated record earnings for the year 2024.
It is a reflection of the robust demand for the platform’s trading services in digital assets, equities derivatives, and commodities that the platform produced more than €100 million ($108 million) in revenue during the first three months of operation. In addition, Bitpanda was able to recover from the losses of 130 million euros that it had incurred in 2022 by achieving a pre-tax profit of 13.6 million euros in 2023.
To add insult to injury, the company’s market presence has been further bolstered by a relationship with Deutsche Bank, which has made it possible for German customers to make transactions in real time.
Its brokerage services have been streamlined as a result of this strategic decision, which has made it more desirable to investors as it contemplates an initial public offering.
It would appear that the current market conditions are ideal for the exchange’s initial public offering (IPO) investigation, particularly in light of the increasing regulatory clarity in the digital asset business. Working together with Citigroup and JPMorgan will serve as a roadmap for the organization as it moves forward with its next stages.
At this time, conversations are still taking place, and Bitpanda may move forward with a public listing or investigate the possibility of it being sold. Circle Internet Financial, which remains committed to its initial public offering (IPO) preparations, issues the stablecoin known as USD Coin (USDC).
In a recent statement, CEO Jeremy Allaire reaffirmed the company’s commitment to going public, notwithstanding the delays that have occurred. Initially, Circle intended to go public through a SPAC merger in the year 2022; however, the company is currently waiting for regulatory approval. Given its strong financial position, the company is not seeking additional capital, and market observers anticipate its listing at the start of 2025.
