Crypto Companies Dominating IPO Scene

According to a recent report from The Information, crypto and artificial intelligence have dominated the US initial public offering (IPO) market.

The market saw 51 US technology IPOs, which is a large number of successful public companies that raised a combined $16.8 billion.

This performance was “well above the average in the last three years”, a major recovery after a period of relative calm in the IPO market (especially compared to the boom years of 2020 and 2021).

Venture Global, a major US liquefied natural gas company, has pulled off one of the biggest IPOs of the year, raising $1.75 billion by selling 70 million shares at $25 apiece.

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When it comes to crypto, Circle Internet Group, the issuer of the stablecoin USDC, raised about $1.05 billion in its IPO, with a price of 34 million shares at $31 each.

Bullish, the crypto exchange backed by Peter Thiel, also had a massive IPO. He raised $1.1 billion by selling 30 million shares at $37 each, valuing the company at about $5.4 billion.

Get your hopes up on lower interest rates

Bankers hope that the decrease in interest rates will “broaden the market in 2026”.

High interest rates make it more expensive for companies to borrow money and reduce the present value of future earnings (which is how high-growth tech companies are typically valued). Lower rates will increase valuations, which will make a public offering more attractive and profitable for the company and its private investors.

Lower rates generally mean investors are more willing to take risks. When borrowing is cheap, money flows more easily into growth-oriented investments like new IPOs, especially in the technology sector.

A decrease in taxes is expected to allow more companies to go public successfully, which will expand the market.