Solana News Today: Bullish Raises $1.15 Billion in Stablecoin-Backed IPO on Solana

Bullish, a cryptocurrency exchange backed by venture capitalist Peter Thiel, has raised $1.15 billion in its initial public offering (IPO), marking what appears to be the first U.S. IPO funded primarily through stablecoins. The company filed its offering with the U.S. Securities and Exchange Commission on August 19 and began trading on the New York Stock Exchange under the ticker symbol BLSH. The IPO represents a novel approach to capital raising, leveraging stablecoins minted on the Solana blockchain network [1].

The funding structure involved multiple USD- and EUR-denominated stablecoins, including USDC, EURC, and others issued by financial institutions such as Circle, Paxos, and Ripple. Investment bank Jefferies coordinated the minting, conversion, and delivery of these stablecoins, which were used to fund the IPO instead of traditional fiat currency. This move signals a departure from conventional capital-raising methods and highlights the growing role of stablecoins in financial markets [1].

David Bonanno, Bullish’s CFO, emphasized the significance of this approach, noting that stablecoins enable rapid international money transfers and are a transformative use case for digital assets. The company specifically leveraged Solana’s infrastructure for its high-speed transactions and efficiency [1].

The IPO was initially met with strong investor enthusiasm. Shares opened at $90 per share, surging 143% above the $37 IPO price. The stock reached a high of $117 on its first day of trading. However, this momentum quickly reversed, with the stock declining to around $59 within a week, reflecting broader market uncertainty and skepticism toward digital asset companies entering public markets [1].

Industry leaders have responded positively to the innovation. Solana Foundation President Lily Liu described the move as evidence of blockchain’s potential to transform capital markets, combining traditional financial structures with digital infrastructure. Greg Tusar of Coinbase highlighted the significance of the IPO as a milestone in digital asset adoption and praised the role of its custody services in supporting the initiative [1].

Stablecoins, unlike volatile cryptocurrencies such as Bitcoin, are designed to maintain stable value by pegging to traditional currencies. USDC, one of the primary stablecoins used in the IPO, is backed by U.S. dollars and short-term government securities, while EURC offers exposure to the euro. The increasing use of Solana for stablecoin operations reflects the platform’s growing influence in the digital asset ecosystem [1].

The implications of this funding model extend beyond Bullish. Traditional IPOs typically rely on banks to collect and transfer funds in conventional currency. By receiving digital assets directly, Bullish bypassed much of this infrastructure, reducing costs and settlement times. The move also provides the company with direct exposure to digital asset markets [1].

Bullish is part of a broader trend of cryptocurrency firms seeking public listings, despite regulatory uncertainty and market volatility. Its IPO underscores the growing mainstream acceptance of digital assets while highlighting the challenges of integrating blockchain technology with traditional financial systems. The successful completion of this stablecoin-backed IPO may encourage other firms to explore similar fundraising strategies [1].

Source: [1] Peter Thiel-Backed Crypto Exchange Bullish Raises $1.15 Billion Using Solana Stablecoins In Historic IPO (https://coinmarketcap.com/community/articles/68a59ee500db01532553fd12/)