TLDR

  • Blockchain.com is reportedly seeking to raise about $500 million in an IPO this year.

  • The company is targeting a valuation between $4 billion and $6 billion.

  • That range is well below the $14 billion valuation it reached in 2022.

  • Bitcoin has gained more than 30% since mid-August after a US Treasury buyback announcement.

  • Shares of Gemini, BitGo and eToro remain down about 50% to 80% from their post-IPO highs.

Blockchain.com, a crypto exchange and wallet provider, is reportedly planning to raise about $500 million through an initial public offering. The company is aiming to list its shares this year.

Bloomberg reported the plans on Monday, citing people familiar with the matter. The report was published on Sept. 28.

According to the report, Blockchain.com is seeking a valuation of between $4 billion and $6 billion. The company is also open to a smaller offering if needed to complete a public listing.

A Lower Valuation Than Its Peak

The target valuation is well below the company’s previous high. Blockchain.com reached a $14 billion valuation in 2022, at the height of the last crypto boom.

That peak came more than four years ago. Even at the top of the proposed range, the company would be valued at less than half of that figure.

Blockchain.com took an early step toward going public in May. The company confidentially filed draft registration documents with the US Securities and Exchange Commission.

At the time, the company did not say how many shares it planned to offer. It also did not share a possible price range.

A confidential filing lets a company start the review process with regulators before making its plans public. The filing paved the way for a potential IPO.

Crypto Markets Rebound

The IPO plans come as capital markets begin to reopen for crypto companies. A market recovery started last month.

Bitcoin has climbed more than 30% since mid-August. The rally began after the US Treasury announced it would sharply increase buybacks of long-dated government debt.

That announcement helped trigger gains across crypto markets. Prices moved higher in the weeks that followed.

Even with the rebound, conditions for crypto companies looking to raise money remain difficult. Several firms that went public recently have seen their shares fall.

Shares of Gemini, BitGo and eToro are still down roughly 50% to 80% from their post-IPO highs, according to Bloomberg.

Those companies are among the crypto firms that have listed on public markets recently. Their share prices have not held on to their early gains.

For now, Blockchain.com’s plans are based on the Bloomberg report. The $500 million target, the $4 billion to $6 billion valuation range and the openness to a smaller deal are the latest details available.

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