Blockchain.com Targets $500M IPO at Up to $6B Valuation

Blockchain.com is reportedly targeting about $500 million from a U.S. initial public offering, with a valuation of up to $6 billion.

Bloomberg reported that the crypto wallet and brokerage company is discussing a valuation between $4 billion and $6 billion for a potential listing this year. The company could also reduce the size of the offering if needed.

The plan comes more than four years after Blockchain.com reached a $14 billion valuation during the 2022 crypto boom. The proposed IPO valuation would therefore be well below that peak.

Blockchain.com Filed IPO Papers in May

Blockchain.com confidentially submitted draft IPO registration documents to the U.S. Securities and Exchange Commission in May, according to reports.

The filing did not disclose the number of shares the company plans to sell or an IPO price range. The latest reported figures of $500 million and a $4 billion to $6 billion valuation are also not final.

Bloomberg reported that discussions are still ongoing, meaning the size, valuation and timing could change before a public offering.

Blockchain.com has not publicly committed to the reported IPO terms.

The Company Was Once Valued at $14 Billion

Blockchain.com reached a $14 billion valuation in a March 2022 funding round led by Lightspeed Venture Partners, with significant participation from Baillie Gifford.

The valuation more than doubled from the company's previous $5.2 billion valuation in 2021.

That valuation did not last.

Blockchain.com raised another $110 million in November 2023 in a Series E round led by Kingsway Capital. Bloomberg reported at the time that the company's valuation was less than half of its $14 billion peak.

The current IPO target of $4 billion to $6 billion would still represent a substantial discount to the 2022 valuation.

Blockchain.com Is Expanding Beyond Crypto Trading

The potential IPO comes as Blockchain.com continues to expand its business beyond its original wallet and blockchain-explorer roots.

The company operates a crypto wallet and brokerage business and says it has more than 95 million wallets and over 43 million verified accounts. It has also processed more than $1.1 trillion in crypto transactions, according to information reported around its latest IPO filing.

More recently, Blockchain.com has moved deeper into tokenized stocks.

On Sept. 23, the company signed a memorandum of understanding with the New York Stock Exchange to explore distributing tokenized U.S. stocks and ETFs through Blockchain.com's platform.

The planned arrangement could eventually give Blockchain.com's users access to a regulated NYSE digital venue, although the service still requires regulatory approval before launch.

Altcoin Buzz recently covered the partnership in NYSE and Blockchain.com Sign Tokenized-Stocks MOU.

Crypto IPO Market Is Still Uncertain

Blockchain.com's potential listing comes as several crypto companies have entered public markets.

However, the performance of recent listings has been uneven.

Shares of Gemini, BitGo and eToro are reportedly down about 50% to 80% from their post-IPO highs, according to Bloomberg data cited in reports.

That creates a difficult backdrop for Blockchain.com.

The company would be asking public-market investors to value a crypto business at billions of dollars while recent crypto listings have struggled to maintain their early gains.

At the same time, the broader crypto market has recovered from its recent weakness. Bitcoin has risen more than 30% since mid-August, according to Bloomberg reporting cited in the IPO coverage.

That recovery has helped reopen the market for potential crypto listings, but it has not removed the volatility surrounding crypto-related stocks.

What the $500M IPO Could Mean

If Blockchain.com proceeds with the reported offering, it would become another major crypto-native company seeking access to public markets.

The company would enter the market with a business that now spans wallets, brokerage services, crypto infrastructure and planned tokenized-stock products.

The timing is also notable because Blockchain.com's proposed valuation is far below its 2022 peak. A $4 billion to $6 billion valuation would put the company at roughly 29% to 43% of its former $14 billion valuation.

That difference reflects how much private-market valuations for crypto companies have changed since the last major bull-market cycle.

The IPO Is Not Final Yet

Blockchain.com's reported $500 million IPO remains a plan rather than a completed offering.

The company has already taken an important step by filing confidential registration documents with the SEC, but it has not publicly announced final pricing, share numbers or an offering date.

The reported valuation and fundraising target could also change before the listing.

For now, Blockchain.com is preparing to test public-market demand at a valuation substantially below its 2022 peak, while simultaneously expanding into areas such as tokenized stocks.

If the IPO moves ahead, investors will get a new public-market test of how much value Wall Street places on a crypto company that has survived multiple market cycles and is now building beyond traditional crypto trading.