Coin WorldFriday, Jun 27, 2025 2:12 pm ET

2min read

Following the successful initial public offering (IPO) of Circle Internet Group, several crypto companies have expressed interest in going public in the United States. On June 5, Circle, the issuer of the USDC stablecoin, raised $1.1 billion in its public debut, exceeding expectations with a 167% gain on its first day of trading. Since then, CRCL stock has surged by more than 600%.

On June 6, Gemini, the cryptocurrency exchange founded by Cameron and Tyler Winklevoss, filed confidentially for a US listing. This was followed by a similar IPO filing from digital asset exchange Bullish on June 10. Other crypto exchanges, including OKX and Kraken’s parent company, Payward Inc., are reportedly streamlining operations ahead of potential IPO filings.

The regulatory environment in the US has become significantly more favorable for crypto companies, according to Jordan Jefferson, CEO and co-founder of DogeOS. He noted that the Senate passing the GENIUS Act, which aims to regulate stablecoins, provides the regulatory clarity companies have been waiting for. This clarity creates the confidence needed to go through the IPO process. Additionally, market maturation and institutional interest in digital assets are driving this trend. Traditional financial institutions like Citibank and JPMorgan Chase are actively exploring adding crypto custody and investments.

While the crypto sector is experiencing notable growth, not all blockchain-focused companies should consider an IPO. Aaron Jacob, head of accounting solutions at Taxbit, noted that the decision depends on the company's stage of growth, business model, and strategic goals. Well-established firms with predictable revenue streams and ambitions to scale globally may benefit from going public, as it offers access to capital, enhances reputation, and improves corporate governance. However, early-stage or highly experimental companies may find the regulatory burdens and disclosure requirements misaligned with their innovation-driven cultures.

Jefferson pointed out that the compliance requirements of an IPO are substantial. A company going public requires a whole compliance team, internal audit functions, and significant ongoing operational costs. For instance, US-based cryptocurrency exchange Coinbase reported $58.2 million in professional services expenses in Q1 of 2025, a category that includes legal and compliance advisory. This demonstrates a 35% increase year-over-year, driven in part by expanding regulatory obligations. Additionally, traditional public markets value crypto businesses differently than crypto markets tend to, using different metrics and risk frameworks.

Crypto companies thinking about going public may want to consider if an initial coin offering (ICO) is better suited for their business. While ICOs were widely popular in 2017, a number of crypto companies are still implementing these models. However, token sales and equity sales serve entirely different purposes and shouldn’t be considered alternatives to each other. An IPO means selling actual equity in your company through regulated public markets with full SEC oversight, giving you access to serious institutional capital. On the other hand, an ICO token sale focuses more on building a community and providing utility tokens to their users.

While the US is undergoing a crypto IPO boom, the possibility of a boom and bust may be looming. Petr Kozyakov, CEO and co-founder of Mercuryo, noted that the history of finance has witnessed bubbles, both in traditional markets and in the digital asset space. This is often fueled by highly speculative trading. Some might say it is possible that we could see something similar unfold with crypto IPOs, especially if the excitement outpaces the fundamentals. Jacob believes that while the IPO landscape is more regulated and selective than the prior ICO boom, the crypto sector is not immune to a boom or bust cycle in public markets. However, the presence of institutional investors, stricter compliance standards, and more mature businesses may mitigate the risks of a boom-bust cycle.