Bitpanda GmbH, a cryptocurrency exchange sponsored by Peter Thiel’s Valar Ventures, is considering an initial public offering (IPO) on the Frankfurt Stock Exchange or a sale, according to people familiar with the proceedings.
The Vienna-based company is collaborating with Citigroup and JPMorgan Chase on the strategic assessment, which could value Bitpanda at more than $4 billion if it goes forward. However, deliberations continue and no final decision has been taken, according to sources.
The interest in an IPO or sale comes as cryptocurrency markets are boosted by regulatory approvals for spot Bitcoin exchange-traded funds (ETFs) in the United States, which has bolstered investor interest in digital-asset firms. Furthermore, market anticipation of a pro-crypto posture in the approaching US presidential elections has boosted the industry.
Bitpanda, an Austrian fintech company, was founded in 2014 and allows retail trading in cryptocurrencies, equities derivatives, and commodities. In August 2021, the firm was valued at $4.1 billion after raising $263 million from high-profile investors such as Peter Thiel’s Valar Ventures, billionaire Alan Howard, and REDO Ventures.
Bitpanda anticipated record earnings for 2024 in May, after generating more than €100 million ($108 million) in revenue in the first quarter. Following a tough 2022 with losses of over €130 million, the company generated a pre-tax profit of €13.6 million last year, indicating a solid financial comeback.
The company reported record revenue growth in early 2024 and expects further profit milestones, boosted by features like real-time transfers for German clients via Deutsche Bank IBANs.
