Crypto Exchange Considers Frankfurt or New York for Public Listing
Vienna-based cryptocurrency exchange Bitpanda has ruled out an initial public offering (IPO) in London, citing poor liquidity on the London Stock Exchange (LSE). The decision comes as the UK faces its sharpest IPO downturn in decades, raising concerns about the exchange’s competitiveness compared to other global financial hubs.
Eric Demuth, co-founder of Bitpanda, revealed that the company is still exploring options for a public listing but confirmed that London will not be considered. Instead, Frankfurt and New York are potential venues, though no specific timeline has been announced.
“Currently, liquidity-wise, the LSE is not doing too well,” Demuth stated in an interview. “I hope that it improves, but over the next few years, I think the LSE is struggling a bit.”
The move reflects a growing trend of companies relocating their listings to more active markets. British fintech Wise and several other firms have shifted their primary listings abroad, aiming to attract broader investor participation.
The UK’s IPO market has reached a historic low, with capital raised from London listings in the first half of the year falling to a 30-year minimum, according to recent market data. Analysts suggest this decline underscores the challenges London faces in maintaining its position as a leading financial hub.
Adding to the pressure, the UK has faced criticism over its crypto regulations, which some experts claim have eroded its early advantage in blockchain finance.
Bitpanda’s decision aligns with a broader industry trend. Several major crypto firms, including Gemini, Figure, BitGo, and Bullish, have recently filed for listings on U.S. exchanges, signaling a strong preference for American capital markets.
With London’s IPO landscape struggling and the U.S. attracting a wave of crypto-related listings, industry experts believe European exchanges must act quickly to remain competitive in the evolving financial ecosystem.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.