Bitpanda rules out London IPO over liquidity concerns
Vienna-based cryptocurrency exchange Bitpanda has decided against pursuing a public listing in London, citing the lack of liquidity on the London Stock Exchange (LSE). Co-founder Eric Demuth stated that London is no longer seen as an attractive venue for raising capital, given the limited investor depth compared to other financial hubs.
Instead, Bitpanda is weighing potential listings in Frankfurt or New York, both of which offer stronger liquidity and a larger investor base. While the company has not finalized the timing of its IPO, Demuth emphasized that market conditions and strategic fit will determine the next steps. The decision reflects London’s broader struggle to attract major fintech and tech listings, as global firms increasingly look to alternative markets.
Why London lost out
Bitpanda rules out London IPO as Demuth points to “not doing too well” liquidity on the LSE. That’s been a broader market theme, with capital raised in London listings recently hitting multi-decade lows and several high-profile companies reconsidering or shifting listings to deeper pools of capital. For an exchange that thrives on volume, picking a venue where investors actually trade is more than optics it’s valuation, research coverage and day-one demand.
Frankfurt or New York next?
The company hasn’t set a timetable, but Frankfurt and New York are on the shortlist. As Bitpanda rules out London IPO, a Germany listing could align neatly with its European base and MiCA-era investor familiarity, while the U.S. offers the deepest liquidity, tech-savvy analyst coverage and a growing cohort of listed crypto-adjacent firms. Each path carries trade-offs on disclosure, costs and regulatory cadence, which the company is still weighing.
A signal from crypto capital markets
Investors read Bitpanda rules out London IPO as another data point in a trend: crypto and fintech issuers gravitating toward venues that can deliver scale, tighter spreads and index inclusion. Recent U.S. filings by multiple crypto firms underscore where bookrunners believe demand is thickest. If Bitpanda ultimately chooses New York, it would join peers tapping U.S. depth to price growth stories amid choppy digital-asset cycles.
UK policy and perception headwinds
London still boasts a world-class financial ecosystem, but policy uncertainty and perception issues have clouded its allure for some growth issuers. As Bitpanda rules out London IPO, it also reopens the conversation about how the UK can convert supportive rhetoric on digital assets into tangible, investor-friendly outcomes particularly around clarity, custody, and market-structure rules that influence liquidity.
Bitpanda’s UK push continues
Ironically, the decision comes as the company doubles down on UK users. Bitpanda recently opened UK access to hundreds of digital assets and announced a major sports sponsorship moves aimed at brand reach and retail adoption. Whether Bitpanda rules out London IPO permanently is an open question, but for now, growth plans and listing venue appear to be on separate tracks.
The bottom line
As Bitpanda rules out a London IPO, the message is clear and pragmatic: go where the liquidity is. The company sees little advantage in choosing a market that cannot provide the depth and demand needed for a successful listing.
For London, the decision underscores the urgency of rebuilding its primary-market appeal to remain competitive with global financial centers. Meanwhile, Bitpanda’s consideration of Frankfurt or New York will be crucial in shaping its valuation, analyst coverage, and long-term shareholder base, signaling how exchanges with stronger liquidity continue to attract high-growth fintech players.
FAQs
Q1: Why did Bitpanda rule out a London listing?
A1: Bitpanda rules out London IPO due to perceived weak LSE liquidity, prioritizing venues with deeper investor demand.
Q2: Which exchanges might Bitpanda choose instead of London?
A2: Bitpanda rules out London IPO and is weighing Frankfurt or New York, seeking stronger liquidity and coverage.
Q3: Does ruling out London affect Bitpanda’s UK business?
A3: No. Even as Bitpanda rules out London IPO, it continues expanding UK access to hundreds of digital assets.
Q4: What does this mean for London’s competitiveness?
A4: When a major crypto firm like Bitpanda rules out London IPO, it highlights ongoing concerns about liquidity and listings depth.
Q5: Is there a timeline for Bitpanda’s IPO?
A5: There’s no set date. While Bitpanda rules out London IPO, timing for Frankfurt or New York remains under evaluation.