Gemini, the renowned cryptocurrency exchange founded by the Winklevoss twins, is making headlines with plans for an initial public offering (IPO) that could value the company up to $2.22 billion.
Exciting Times Ahead for Gemini
On Tuesday, Gemini disclosed that it will be issuing 16.67 million shares, expected to be priced between $17 and $19 each. The firm’s shares will trade under the ticker symbol “GEMI” and they aim to raise approximately $317 million at the upper end of this range.
This announcement arrives amid a revitalization in the crypto IPO landscape in the United States. Other firms, such as Circle (CRCL) and Bullish (BLSH), have also witnessed strong performances during their market debuts.
Gemini’s entrance into the public arena marks a pivotal moment as it aims to be the third digital asset exchange to be publicly traded. This follows the successful listings of Coinbase in 2021 and Bullish in August of the previous year.
Analyst Bo Pei from US Tiger Securities highlights that the recent successes of firms like Circle and Bullish, coupled with a bullish market trend and increasing cryptocurrency valuations, create a prime atmosphere for more crypto entities to pursue listings.
Over recent months, the cryptocurrency sector has seamlessly woven itself into traditional finance models, driven by regulatory endorsements for Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs) by the US Securities and Exchange Commission (SEC) last year, while Coinbase achieved a milestone with its S&P 500 integration.
Expanding the IPO Narrative: Blockchain Lenders
Joining this trend, Figure Technologies, a blockchain lending entity, is also aiming for a robust valuation of approximately $4.13 billion during its own initial public offering.
The firm intends to offer 26.3 million shares, anticipating a price range between $18 and $20. The planned fundraising of around $526.3 million indicates the eagerness of crypto-based companies to take advantage of the current investment climate.
The current administration in the US has shown a favorable inclination towards the crypto sphere, facilitating vital legislation that promises to maintain an active IPO landscape, particularly for firms that emphasize compliance and structured operations.
IPOX CEO Josef Schuster notes that a nurturing regulatory context is likely to spur more entrants in the public markets. He asserts:
Investors in this space tend to exercise patience as they recognize the long-term viability—especially as regulatory obstacles diminish and adoption rates continue to soar.
Leading financial institutions such as Goldman Sachs will play essential roles as underwriters for both Gemini and Figure Technologies’ IPO journeys.
Featured image courtesy of DALL-E, with data visualizations sourced from TradingView.com.
