Bitpanda, the Vienna-based cryptocurrency exchange backed by billionaire investor Peter Thiel, is exploring strategic options including a potential initial public offering (IPO) in Frankfurt.
The company is working with major financial institutions such as Citigroup Inc. and JPMorgan Chase & Co. and is considering various possibilities, including a sale or an initial public offering, according to people familiar with the matter.
The people, who asked not to be identified because of the private nature of the talks, said a potential deal could value Bitpanda at $4 billion or more. If Bitpanda were to make a deal, it would likely happen next year. However, the sources added that negotiations were ongoing and the exchange could ultimately decide not to make a deal.
Bitpanda’s valuations come amid a broader revival in the cryptocurrency market, which has seen a surge following the approval of spot Bitcoin ETFs by U.S. regulators. The regulatory green light has boosted the appeal of digital asset companies to potential investors, while market optimism over a possible win for pro-crypto Republican candidate Donald Trump in the upcoming U.S. presidential election has added further gains.
Founded in 2014, Bitpanda enables individual trading in cryptocurrencies, equity derivatives and commodities. The company was last valued at $4.1 billion in August 2021 when it raised $263 million in a round led by Thiel’s Valar Ventures, billionaire financier Alan Howard and REDO Ventures.
The Austrian startup reported impressive financial results earlier this year. In May, Bitpanda announced a record profit forecast for 2024, generating over €100 million ($108 million) in revenue in the first quarter alone. The company also made up for losses exceeding €130 million in 2022 by generating pre-tax profits of €13.6 million in 2023.
*This is not investment advice.