Bitpanda Shuns London IPO as Firms Chase Global Liquidity Hotspots

Bitpanda, one of Europe’s largest cryptocurrency exchanges, has ruled out a London IPO due to liquidity concerns, according to reports from multiple financial and crypto news outlets. The firm’s co-founder, Eric Demuth, stated that the London Stock Exchange (LSE) is not currently offering the level of liquidity required for a successful public offering. “It will not be in London,” Demuth said in an interview with the Financial Times, noting that the LSE is “struggling a bit” amid a broader decline in the UK’s IPO market [1].

The decision marks a significant shift in Bitpanda’s capital-raising strategy. While the company continues to evaluate a public listing, its focus has now turned to potential markets in Frankfurt or New York. These jurisdictions are seen as more favorable due to their deeper investor bases and stronger liquidity, particularly in the New York Stock Exchange and Nasdaq, where other crypto firms have recently raised significant capital [2]. For instance, Circle, the issuer of USD Coin, raised $1.05 billion on the NYSE earlier this year [4].

The UK’s IPO market has been on a downward trajectory, with fundraising levels hitting a 30-year low in the first half of 2025. Data cited by the FT shows that only £160 million to £182.8 million ($216 million to $247.8 million) was raised during the period, compared to £8.8 billion ($11.88 billion) at the 2021 peak [3]. This decline has prompted several firms to reconsider London as a primary listing destination. Notably, Wise, the British fintech company, recently moved its primary listing to the US to access a more liquid market and greater investor interest [4].

Bitpanda’s choice to avoid the UK IPO market is also influenced by its business structure and market strategy. Despite launching in the UK earlier this year, the firm still generates the majority of its revenue from continental Europe. This regional focus, combined with the UK’s regulatory and liquidity challenges, has made alternative markets more appealing. Demuth emphasized that the company is not ruling out a UK listing entirely but sees no immediate incentive to pursue it [2].

The broader trend of crypto firms seeking listings in the US or European markets highlights a shift in global capital flows. As regulatory clarity and investor interest continue to favor markets like the US and Germany, companies are increasingly aligning with jurisdictions that offer both liquidity and a supportive regulatory environment. For Bitpanda, which is backed by prominent investors such as Peter Thiel, the move reflects a strategic decision to capitalize on markets that can support its growth ambitions and long-term public offering goals [4].

Source: [1] Bitpanda rules out London IPO over liquidity concerns (https://cointelegraph.com/news/bitpanda-rules-out-london-ipo-liquidity-frankfurt-new-york) [2] Peter Thiel-backed Bitpanda Avoids UK IPO, Focuses on ... (https://coincentral.com/peter-thiel-backed-bitpanda-avoids-uk-ipo-focuses-on-new-york-or-frankfurt/) [3] Bitpanda Rules Out London IPO Due to Liquidity Concerns (https://www.livebitcoinnews.com/bitpanda-rules-out-london-ipo-due-to-liquidity-concerns/) [4] Peter Thiel-Backed Bitpanda Rejects UK Listing On Liquidity ... (https://finance.yahoo.com/news/peter-thiel-backed-bitpanda-rejects-050413945.html)