Bitpanda eyes a potential IPO in Germany, but the company is keeping its options open

Vienna-based cryptocurrency exchange Bitpanda, backed by billionaire investor and PayPal co-founder Peter Thiel, is considering going public in Frankfurt, with financial giants Citigroup and JPMorgan Chase advising on potential pathways, including a possible sale.

Bitpanda eyeing a Potential IPO?

If Bitpanda proceeds with an IPO, it could secure a valuation of $4 billion or more. The exchange last reached a $4.1 billion valuation in August 2021 following an investment round led by Peter Thiel’s Valar Ventures, along with support from Alan Howard and REDO Ventures.

But insiders has revealed that there is still no final decision yet as Bitpanda could still choose to maintain its current business structure.

Growing interest in a public listing or sale has been sparked by recent regulatory approval for Bitcoin ETFs, which has bolstered investor interest in digital-asset firms. Furthermore, market anticipation of a pro-crypto posture in the approaching election has also boosted the industry.

Bitcoin’s recent surge past $70,000 has further bolstered confidence in the crypto market. Bitpanda isn’t alone in eyeing an IPO; U.S. exchange Kraken has also hinted at a potential IPO by year’s end, and Thai exchange Bithub is aiming for a 2025 debut.

Performance of Bitpanda since its launch in 2014

Founded in 2014, Bitpanda initially specialized in crypto trading but has since diversified, offering equity derivatives and commodities. The startup was valued at $4.1 billion in August 2021 after successfully raising $263 million from a group of prominent investors, including Thiel's Valar Ventures, billionaire financier Alan Howard and REDO Ventures.

Moreover, Bitpanda's latest performance indicates a strong financial rebound. The crypto exchange reported over $108 million in revenue for the first quarter of 2024 and a 14.71 million pre-tax profit in 2023, following a challenging 2022.

Earlier this year, Bitpanda partnered with Deutsche Bank to deliver real-time payment solutions in Germany, expanding an ongoing collaboration in which Deutsche Bank also supports Bitpanda’s cross-currency operations in Austria and Spain. This partnership grants Bitpanda access to German IBANs via an API-based system, significantly enhancing transaction speed and efficiency for German users.