TL;DR
- Bitpanda, the crypto exchange backed by Peter Thiel, is evaluating a possible IPO or total sale, with a potential valuation of $4 billion.
- The firm is collaborating with Citigroup and JPMorgan Chase & Co. to explore these options in a positive market context.
- Founded in 2014, the exchange reported revenues of over €100 million in the first quarter of 2024, after reversing losses of over €130 million in 2022.
Bitpanda, a cryptocurrency exchange backed by investor Peter Thiel, is considering strategic options that include a possible initial public offering (IPO) in Frankfurt or even the sale of the company.
This information has emerged from a report indicating that the firm is working with Citigroup and JPMorgan Chase & Co. to explore these possibilities. Sources close to the process suggest that any deal could value Bitpanda at approximately $4 billion or more, depending on market conditions and investor interest.
The current crypto market context has favored this type of strategy, as the approval of Bitcoin exchange-traded funds (ETFs) by U.S. regulators has catalyzed strong optimism among investors. Additionally, the expectation of a victory by pro-crypto Republican candidate Donald Trump in the upcoming U.S. presidential elections has also contributed to this positive atmosphere, boosting interest in cryptocurrency platforms.
The Success and Consolidation of Bitpanda
Founded in 2014 and based in Vienna, Bitpanda has experienced meteoric growth in its business model, offering cryptocurrency trading, equity derivatives, and commodities. In August 2021, the company reached a valuation of $4.1 billion after a funding round that allowed it to raise $263 million from various investors, including Thiel’s Valar Ventures.
In a favorable turn, the company has reported that it expects to achieve record profits in 2024, after generating more than €100 million in revenue in the first quarter of this year. It is noteworthy that in 2022, the company faced losses exceeding €130 million, but managed to reverse its situation, reporting a pre-tax profit of €13.6 million last year.
Currently, Bitpanda continues to deliberate on its future and available options. Although the path toward an IPO or a potential sale appears to be on the horizon for next year, the company is still in the early stages of evaluation and could choose not to proceed with any of these transactions