U.S. Policy Shifts Drive Positive Sentiment in Crypto Industry
A notable shift in the U.S. regulatory landscape is creating new momentum for crypto-related initial public offerings (IPOs) and venture capital funding. According to recent market analysis, the number of crypto IPOs in 2025 has matched the pace seen during the 2021 bull market, signaling a resurgence in institutional interest.
The U.S. is becoming increasingly favorable for crypto corporate activity, prompting more companies to consider going public.
GENIUS Act Seen as Regulatory Turning Point
A central driver behind this renewed optimism is the progress of the GENIUS Act (Guiding and Establishing National Innovation for U.S. Stablecoins) in the U.S. Senate. This legislation proposes federal oversight of stablecoins with a market capitalization above $10 billion while allowing state regulation when compliant with federal standards.
The GENIUS Act is expected to bring clarity and stability to the U.S. crypto regulatory framework.
Stablecoins, which are digital currencies pegged to assets like the U.S. dollar or gold, play a critical role in cross-border payments, trading, and liquidity provisioning across crypto ecosystems.
Venture Capital Funding Surges Beyond 2023/24 Levels
Alongside IPO activity, venture capital funding in the crypto sector is rising, with year-to-date investment figures already surpassing those seen in 2023 and 2024 on an annualized basis. This signals a renewed appetite among institutional investors to back blockchain innovation.
Crypto startups in areas such as infrastructure, payments, tokenization, and custody are attracting significant funding.
Crypto Companies Prepare for IPO Launches
Several major crypto firms are reportedly preparing for IPOs this year. While exact timelines vary, the move reflects confidence in regulatory direction and capital market receptiveness. IPOs offer crypto investors exposure beyond digital tokens, creating new opportunities in blockchain-related equities.
IPOs provide investors with a way to diversify exposure beyond BTC and ETH, the top two digital assets by market cap.
Conclusion: Regulation as a Catalyst for Growth
The improving U.S. regulatory environment, driven by policy developments like the GENIUS Act, is fuelling optimism for crypto IPOs and VC funding. As more companies go public and funding increases, the digital asset ecosystem appears poised for broader institutional integration.