The cryptocurrency sector has entered a new phase of growth, marked by a wave of initial public offerings (IPOs) from leading firms. Tracy Jin, COO of MEXC, believes that the once-experimental industry now mirrors traditional finance, complete with robust governance, audited financials, and scalable revenue streams.
“Crypto is no longer a nascent industry run from garages,” Jin told Cointelegraph. This maturity is exemplified by Circle’s public debut on June 5, where the USDC stablecoin issuer raised $1.1 billion, achieving a record-setting 167% gain on its first trading day. Similarly, Gemini filed confidentially for a US listing, with Bullish following suit.
Regulatory Clarity Fuels Confidence
One of the key drivers behind this IPO boom is regulatory clarity. Frameworks like Europe’s Markets in Crypto-Assets Regulation (MiCA) and the approval of Bitcoin and Ether ETFs in the US have helped de-risk crypto investments for institutional players.
“For years, the ambiguity in jurisdictions like the United States made public market investors wary,” Jin explained. These new regulations may not be exhaustive, but they offer enough structure to instill confidence in Wall Street.
The IPO landscape is expected to be dominated by firms with clear and defensible business models, such as those offering blockchain analytics, staking services, secure custody, and stablecoin issuance. Jin emphasised, “The momentum is sustainable, but it will be selective.”
Bull Market Catalyses Growth
The bullish environment for cryptocurrencies has also played a significant role. The surge in spot Bitcoin and Ether ETFs has created a wealth effect for early investors and driven valuations higher. “Improved market sentiment is the fundamental of a successful launch,” said Jin.
This trend highlights a shift in how the crypto market operates. Companies are no longer solely focused on token prices but are diversifying their revenue streams through custody, staking, and trading services, positioning themselves as IPO-ready.
A Rising Crypto Frontier
Asia is emerging as a crucial player in the evolving crypto landscape. Jin highlighted Metaplanet’s Bitcoin treasury strategy as an example of increasing regional adoption. Concerns over currency depreciation in Japan have further boosted Bitcoin’s appeal as a hedge.
Jin also predicts a surge in crypto-linked financial products in Asia, drawing parallels to strategies used by traditional financial institutions like Goldman Sachs and JP Morgan. Instruments such as convertible notes, which provide yield with upside exposure, are paving the way for mainstream adoption.
Sustained Growth or Selective Success?
As the crypto industry continues to mature, its public market presence will likely grow. However, success will depend on firms’ ability to present themselves as sustainable, fintech-like entities with strong governance and diverse revenue models.
Jin summarised the outlook succinctly: “Companies that look more like tech or fintech, rather than speculative plays on token prices, will be the most successful.”
The current wave of crypto IPOs is not just a sign of industry growth but also a blueprint for institutional acceptance. Whether in the West or Asia, the shift from garages to governance is cementing crypto’s place in the mainstream financial ecosystem.
