Overview

After Donald Trump took office, the rapid market surge and the arrival of a new crypto era have driven crypto companies to actively adjust their strategic positioning.

2025 is expected to be a pivotal year for crypto company IPOs. Following Coinbase’s successful public listing, potential candidates such as Circle and Kraken are also actively preparing, accelerating the capitalization process of the crypto industry.

List of Crypto Companies That May Go Public in 2025 and Their Valuation Logic

With technological breakthroughs and regulatory improvements, optimism in the 2025 crypto market continues to rise. Several crypto unicorns are seen as potential IPO candidates, among which Circle and Kraken are undoubtedly the focal points of market attention.

Circle: The Capitalization Path of a Stablecoin Giant

Circle is a company centered around the stablecoin USDC, which is pegged to the US dollar and provides stability for crypto trading, cross-border payments, and other financial use cases. As of March 4, 2025, USDC’s circulation reached $56.3 billion, supporting Circle’s stable transaction fee revenue and financial service expansion.

The company originally planned to go public in 2022 but failed to do so. Eventually, in January 2024, it submitted an IPO application to the U.S. Securities and Exchange Commission (SEC).

Source: coinmarketcap.com

Valuation Logic:

Stablecoin market share – Can USDC expand its market share and compete with USDT?

User growth – The adoption rate of USDC by corporate and institutional clients.

Integration with traditional finance – How effectively Circle deepens partnerships with banks and payment giants.

Market Estimate: Analysts predict Circle’s IPO valuation could range between $5 billion and $10 billion, depending on its ability to expand enterprise services and gain more regulatory approval.

Source: cnbc.com

Kraken: Growth Potential of a Veteran Exchange

As one of the pioneering cryptocurrency exchanges, Kraken achieved $1.5 billion in revenue in 2024, more than doubling from $671 million in 2023, according to Cointelegraph. By the end of 2024, Kraken had 2.6 million funded accounts and $42.8 billion in assets under custody.

Valuation Logic:

Trading volume & fee revenue – Directly influenced by crypto market activity, with significant growth in bull markets.

Derivatives market expansion – As institutional traders’ demand increases, derivatives trading becomes a key growth driver.

Global business expansion – With strong U.S. and European market presence, Kraken solidifies its industry leadership through compliance advantages.

Market Estimate: Despite competition from Binance and Coinbase, Kraken remains a top IPO candidate due to its strong regulatory foundation. Analysts estimate its valuation to be between $3 billion and $6 billion, with the potential for higher valuation if it launches innovative products or expands institutional services.

Source: x

Bgin Blockchain Limited: A Singapore-Based Crypto Mining Equipment Manufacturer

Founded in 2019 and headquartered in Singapore, Bgin Blockchain Limited specializes in designing and selling mining machines for alternative cryptocurrencies and providing mining machine hosting services.

According to its IPO filing with the SEC on February 12, 2025, Bgin plans to raise to $50 million by offering approximately 59.54 million Class A ordinary shares and 15.69 million Class B ordinary shares on the Nasdaq stock exchange under the ticker symbol “BGIN”.

Valuation Logic:

1. Mining machine sales growth – Since 2023, mining machine sales have become the company’s primary revenue source, accounting for over 85% of total revenue, driving significant financial growth.
2. Hosting service revenue – Hosting services provide a stable income stream, ensuring financial stability, especially during market downturns.
3. Market positioning & competition – Bgin holds a competitive advantage in the alternative crypto mining equipment sector, influencing its overall valuation.
4. Global expansion potential – Bgin’s mining operations in the U.S. and worldwide offer growth opportunities, further enhancing its valuation.

Source: sec.gov

Beyond the companies above, cross-border payment firm Ripple, hardware wallet provider Ledger, and Ethereum infrastructure firm Consensys are also potential IPO candidates. These companies’ valuations rely more on technological barriers, market demand, and their synergy within the crypto ecosystem rather than merely transaction volume.

Comparison with Traditional IPOs

Coinbase vs. Charles Schwab: Diversified Revenue vs. Traditional Brokerage Model

As the first major crypto firm to go public, Coinbase has rapidly expanded since its 2021 IPO, leveraging diverse revenue streams such as trading fees, staking rewards, and institutional custody services. However, its valuation remains highly sensitive to crypto market fluctuations, making it a key symbol of digital asset adoption in mainstream finance.

By contrast, Charles Schwab, representing the stability of traditional finance, continues to grow steadily through brokerage services, asset management fees, and net interest income. In response to the growing demand for crypto assets among younger investors, it is also gradually expanding its digital asset offerings.

The long-term market cap competition between Coinbase and Charles Schwab will depend on the sustained expansion of the crypto market and their ability to attract retail and institutional investors. If the crypto market continues growing, Coinbase could surpass Charles Schwab, potentially becoming the world’s largest brokerage firm by market cap.

Source: centerpointsecurities.com

Source: sec.gov

Diversification vs. Stability: Revenue Models of Coinbase and Charles Schwab

Coinbase operates a highly diversified revenue model, generating income from multiple sources beyond just trading fees, including:

• Staking Rewards – Earnings from staking PoS-based assets.
• Institutional Custody – Secure storage services for large investors and institutions.
• Stablecoin Partnerships – Revenue-sharing agreements, such as its collaboration with Circle on USDC.
• Web3 Ecosystem Investments – Exposure to DeFi, NFTs, and on-chain transactions.

This diversified strategy strengthens Coinbase’s resilience to market downturns, allowing it to maintain revenue even during bear markets. However, Coinbase remains highly exposed to crypto market cycles and regulatory challenges.

For instance, in 2024, Bitcoin surpassed $100,000, triggering a surge in Coinbase’s trading volume and boosting its market cap close to $70 billion. As of March 4, 2025, its market capitalization stood at $51.51 billion. However, intensifying competition means Coinbase must continue innovating to sustain its growth momentum.

Source: companiesmarketcap.com

In contrast, Charles Schwab represents stability in the traditional brokerage industry, deriving revenue from:

Brokerage Services – Offering stock, bond, and ETF trading.

Asset Management Fees – Earnings from wealth management and investment advisory services.

Net Interest Income – Profits from interest rate spreads on client deposits and loans.

As of March 4, 2025, Schwab’s market cap stood at $141.67 billion. With a large customer base and low-cost operating model, the firm has maintained steady long-term growth. However, as younger investors show increasing interest in crypto assets, Schwab has quietly expanded its digital asset offerings, posing a potential competitive threat to Coinbase.

Source: https://companiesmarketcap.com/charles-schwab/marketcap

Market Cap Battle: New Finance vs. Traditional Finance

At its core, the competition between Coinbase and Charles Schwab represents a clash of financial paradigms:

• Coinbase is betting on the future of the crypto economy, relying on market innovation and the growth of the Web3 ecosystem.
• Charles Schwab, on the other hand, integrates emerging trends into its traditional financial model, maintaining its market leadership through a stable and profitable business structure.

Market forecasts suggest that if the crypto market continues to expand, Coinbase’s stock price could reach $700 per share by the end of 2025, potentially surpassing Charles Schwab in market cap and becoming the world’s largest brokerage by valuation. However, in the end, the market cap balance will depend on which company can better capture the interests of both retail and institutional investors.

Steps Involved in an IPO

The IPO process for cryptocurrency companies involves several key steps. First, the company must finalize its financial statements, ensure regulatory compliance, and optimize corporate governance. Next, it hires investment banks and legal teams, selects a stock exchange, and formulates its listing strategy. Then, it submits a prospectus (such as an S-1 form) to regulatory authorities for review.

After attracting investors through a roadshow, the company determines the offering price and officially goes public. Post-IPO, the company must continuously disclose financial information and maintain regulatory compliance to sustain market trust. A successful IPO not only enhances fundraising capabilities and brand recognition but also contributes to the mainstream adoption of the cryptocurrency industry.

The Key Steps in a Cryptocurrency Company IPO:

1. Preliminary Preparation – Finalize financial statements, ensure legal compliance, optimize corporate governance, and assess IPO feasibility.
2. Selecting Advisors and Underwriters – Hire investment banks, legal teams, and other professional institutions to develop a listing strategy.
3. Regulatory Approval – Submit a prospectus (e.g., S-1 form) for regulatory review to ensure full compliance in disclosures.
4. Market Promotion and Pricing – Conduct a roadshow to attract investor interest and finalize the offering price.
5. Public Listing and Trading – The company’s stock begins public trading, completing the IPO process.
6. Post-IPO Management – Continue financial disclosures, maintain investor confidence, and ensure long-term compliance.

A successful IPO helps companies raise capital and strengthen brand presence and accelerates the mainstream adoption of the crypto industry.

Source: workiva.com

Outlook and Predictions

In 2025, the IPO wave in the crypto industry is expected to gain momentum. However, market cycles and regulatory changes may still impact its pace and valuations.

1. Increased Access to Capital Markets

With the approval of Bitcoin ETFs, traditional financial institutions are recognizing crypto assets, paving the way for more crypto companies to enter public markets and expand funding channels.

2. Market Sentiment and Capital Inflows

The new bull market of 2025 is driving a rebound in crypto asset valuations, boosting investor confidence, and fueling IPO activity.

3. Clearer Regulatory Frameworks

The Trump administration has signed an executive order to establish a neutral, transparent, and well-defined crypto regulatory framework. At the same time, major global markets are refining their crypto industry regulations, providing more listing opportunities for compliant companies while enhancing industry transparency and legitimacy.

Source: cnbc.com

4. Increasing Institutional Participation

Interest in crypto markets from traditional financial institutions and venture capital continues to grow, making IPOs a key investment strategy to accelerate the industry’s capitalization process.

Several institutions have launched Bitcoin ETFs, enabling traditional investors to participate in the Bitcoin market indirectly. Notable examples include:

• ProShares, Valkyrie, and VanEck – Offering Bitcoin futures ETFs.
• Fidelity – Advancing efforts to launch a spot Bitcoin ETF, providing a more convenient investment vehicle.

5. Rising Industry Maturity

Business models in stablecoins, blockchain infrastructure, Web3, and DeFi are becoming more robust, demonstrating long-term growth potential and further supporting the IPO landscape.

Despite the anticipated IPO boom in 2025, market cycles and regulatory shifts may still affect the trajectory and valuations of upcoming listings.

Risks

The crypto industry’s IPO potential in 2025 is significant, but it also faces various risks related to market cycles, regulations, competition, technology, macroeconomic conditions, and investor sentiment. Investors must carefully evaluate whether these companies have long-term sustainable profitability rather than relying solely on market-driven high valuations.

Market Cycle Risks

Bitcoin’s price fluctuations directly impact the trading volume and fee revenue of exchanges like Coinbase and Kraken, affecting their revenue stability. If the market enters a correction phase or bear market, investors’ risk appetite declines, which could put downward pressure on IPO valuations or even lead to IPO underperformance.

Looking back at 2021, the crypto industry reached an unprecedented valuation peak due to the DeFi boom, NFT hype, and Bitcoin’s price surge. However, the subsequent bear market revealed the vulnerabilities behind the bubble, with many billion-dollar companies losing value rapidly or going bankrupt between 2022 and 2023. This round of market correction has sounded the alarm for the 2025 IPO boom.

For example, Three Arrows Capital (3AC), a major crypto hedge fund, filed for bankruptcy in June 2022 after failing to repay its debts. The fund’s high-leverage strategy collapsed amid a market downturn, leading to massive debt defaults that affected multiple crypto projects and lending platforms.

Source: cnbc.com

For companies like Circle and Kraken, investors have become more cautious in their evaluations. The year 2021 demonstrated that market-driven high valuations are unsustainable. Without strong cash flow or a clear profitability model, IPO stock prices may face significant volatility or prolonged declines.

Response Strategy

• Strategy: Crypto companies should focus on diversifying revenue sources to reduce reliance on market fluctuations. For example, expanding into staking services, institutional custody, and stablecoin partnerships can help enhance revenue stability. Additionally, companies should establish robust cash flow and sustainable profit models to avoid excessive dependence on market sentiment-driven high valuations.
• Response: Investors should assess whether a company has long-term profitability potential rather than overly focusing on short-term market fluctuations.

Legal and Compliance Costs:

Publicly listed companies must adhere to stricter financial, legal, and governance requirements, including regular information disclosure, audits, and compliance management. These obligations result in ongoing operational costs and regulatory risks.

Response Strategy:

• Strategy: Crypto companies must ensure compliance with local regulations, establish a strong compliance team, and conduct regular information disclosures and audits. Preparing in advance for legal changes can help mitigate regulatory risks.
• Response: Companies should proactively strengthen compliance readiness and enhance internal governance, while investors should evaluate a company’s compliance capabilities and their impact on long-term business development.

Regulatory Uncertainty

Regulation remains the biggest uncertainty in the crypto industry, specifically in the following areas:

• Stricter SEC Oversight in the U.S.: Although Trump is pushing for a clear crypto regulatory framework, until it is implemented, the SEC may still impose stricter regulations on stablecoins, DeFi, or exchanges, potentially affecting the core business models of companies like Circle and Kraken.
• MiCA Regulation in Europe: The EU’s Markets in Crypto-Assets Regulation (MiCA) requires crypto firms to meet strict compliance and transparency standards, which could increase operational costs.
• Policy Changes in the Asia-Pacific Region: Regulatory developments in markets such as Hong Kong and Singapore may impact the global expansion plans of crypto companies.

Source: esma.europa.eu

Response Strategy:

• Strategy: Crypto companies must closely monitor regulatory changes worldwide, particularly those from the SEC in the U.S., MiCA in Europe, and policies in the Asia-Pacific region. Adjusting business models in response to regulatory shifts and ensuring compliance is crucial, along with actively engaging with regulators.
• Response: Investors should assess a company’s ability to adapt to regulatory changes, with particular focus on its flexibility and compliance strategies in the face of policy risks.

Intensifying Competition

The crypto market is becoming increasingly crowded, with new entrants and Web2 financial giants adding to the competitive pressure:

• Traditional Financial Institutions Entering the Market: Major players like Charles Schwab and BlackRock are launching crypto-related services, potentially capturing market share.
• Emerging Crypto Exchanges Expanding: Platforms like Bybit, OKX, and Binance continue to grow, which could squeeze the profit margins of Kraken and Coinbase.
• DeFi as a Substitute: Decentralized exchanges (DEXs) like Uniswap and dYdX may further erode the market share of centralized exchanges (CEXs).

Source: blackrock.com

Response Strategy:

• Strategy: Companies should increase technological innovation and expand customer engagement to differentiate services and build competitive advantages. Strengthening brand presence and increasing market share will be essential to fending off competition from traditional financial firms and emerging exchanges.
• Response: Investors should evaluate a company’s competitive edge and assess whether it can effectively withstand challenges from both new and established financial players.

Technology and Security Risks

Hacking Attacks: Hackers frequently target crypto exchanges and DeFi protocols. A major security breach or theft could severely undermine market confidence.

• Example: BadgerDAO Hack – In December 2021, DeFi protocol BadgerDAO suffered an attack where hackers exploited vulnerabilities in the platform’s frontend interface, stealing approximately $120 million in user funds. Following the attack, BadgerDAO immediately suspended all transactions and began fixing the vulnerabilities and conducting investigations.

Smart Contract Vulnerabilities: If Circle’s USDC-related smart contracts experience technical issues, it could trigger a loss of confidence in the stablecoin market.

Source: halborn.com

Response Strategy:

• Strategy: Crypto firms should invest heavily in security technologies, strengthen their defenses against cyberattacks, and conduct regular security audits. Additionally, ensuring the security of smart contracts is crucial to preventing trust crises caused by potential vulnerabilities.
• Response: Investors should evaluate a company’s technical capabilities and security measures, particularly those that safeguard user funds and data.

Economic Environment Impact

Federal Reserve Monetary Policy: If the Federal Reserve raises interest rates or global liquidity tightens, capital may flow out of high-risk assets (such as crypto assets), negatively impacting crypto companies’ IPO valuations.

Global Economic Recession Risk: If global economic growth slows in 2025, investors may reduce allocations to high-risk assets like crypto stocks.

Source: crsreports.congress.gov

Response Strategy:

• Strategy: Crypto firms should monitor global economic trends and monetary policies and adjust business strategies accordingly. For example, during liquidity tightening, companies should manage risk exposure and maintain financial stability.
• Response: Investors should evaluate the potential impact of global economic conditions on the crypto market and assess companies’ resilience, especially in response to economic downturns or tighter monetary policies.

Industry Significance

1.Industry Maturity and Standardization

The IPOs of crypto companies mark a step toward integrating with traditional financial markets, promoting the maturity and standardization of the crypto industry. By going public, crypto firms must comply with strict financial transparency, audit requirements, and information disclosure standards, thereby enhancing the overall legitimacy and credibility of the industry. IPO is not only an essential milestone for the crypto sector’s entry into the mainstream financial system but also an opportunity to attract more institutional investors and traditional capital.

For example, Coinbase regularly publishes its quarterly earnings reports, further demonstrating the industry’s transparency and compliance efforts.

Source: investor.coinbase.com

Source: s27.q4cdn.com

2.Accelerating Capitalization

IPOs provide crypto companies with funding channels, helping them secure larger capital support to drive business growth and expansion. Support from capital markets can help companies strengthen financial reserves and mitigate the impact of market volatility, especially in times of market instability.

After going public, companies can also leverage the stock market for capital operations and acquisitions, further increasing market share. For instance, Coinbase was directly listed on NASDAQ on April 14, 2021, under the ticker symbol COIN. On its first trading day, COIN opened at $381, closed at $328.28, and reached a market capitalization of approximately $85.78 billion.

Source: edition.cnn.com

3.Driving Competition and Innovation

Through IPOs, crypto companies secure financial resources and enhance brand recognition and market influence. Publicly listed firms are more likely to participate in industry standard-setting and innovation, promoting overall industry advancement and healthy development. At the same time, IPOs strengthen the connection between the crypto industry and traditional finance, fostering greater innovation and synergy.

4.Attracting More Investors

The success of crypto company IPOs can attract a broader investor base, especially traditional investors who have yet to enter the crypto market. By going public, these companies gain access to a wider pool of capital, including institutional investors, fund managers, and retail traders, further driving market liquidity and growth.

For example, as of March 3, 2025, Coinbase had 1,556 institutional investors holding its shares, with 1,486 classified as long-term holders. Institutional ownership totaled 134 million shares, accounting for 63.90% of the outstanding shares, marking a 10.72% increase from the previous quarter. Major institutional shareholders include Vanguard, BlackRock, Susquehanna, and Citadel, with a combined institutional ownership value of approximately $31.64 billion.

Source: fintel.io

5.Balancing Risks and Rewards

Crypto IPOs also allow investors to participate in a high-risk, high-reward sector. Although the crypto market is highly volatile, IPOs offer a relatively transparent investment vehicle, allowing investors to assess potential risks and returns in a controlled environment.

Source: investor.coinbase.com

Overall, crypto companies’ IPOs help promote industry compliance, capitalization, and transparency and enhance trust in the crypto market, driving the industry’s healthy development.

Conclusion

The wave of crypto company IPOs in 2025 is accelerating. From Coinbase’s pioneering efforts to the IPO preparations of Circle, Kraken, and others, this integration of finance and technology is propelling the industry to new heights.

An IPO not only signifies the maturity and mainstream acceptance of the crypto industry but also provides a crucial financing channel for companies, enhances market legitimacy, and attracts more institutional capital.

However, opportunities come with risks. Investors must thoroughly understand valuation logic, competitive landscapes, and past market experiences to seize opportunities cautiously. Amid regulatory challenges and market volatility, both companies and investors must adapt flexibly and adopt prudent strategies to navigate the new era of the digital economy.