BitGo Prices IPO at $18, Exceeding Expected Range
As BitGo prepares for its NYSE debut and BlackRock manages significant outflows, the intersection of traditional finance and digital assets faces new pressure from rising inflation forecasts and regulatory shifts. Meanwhile, companies like Strategy and Strive are restructuring their balance sheets to deepen their bitcoin exposure. Stay up on the crypto news that matters with "Crypto Currents," daily from The Fly. Join us at 2 PM ET for your essential briefing on the fast-moving world of cryptocurrency on FlyCast radio.BITGO PRICES IPO ABOVE RANGE AHEAD OF NYSE DEBUT:Institutional demand for crypto custody is reaching the public markets as BitGo prepares to list on the New York Stock Exchange today. The firm priced its initial public offering at $18 per share, exceeding the marketed range of $15-$17. The offering is expected to raise approximately $212.8M and values the company at over $2B. This listing places BitGoalongside other major publicly traded crypto infrastructure players like Coinbase, marking a significant milestone for dedicated digital asset custodians.BLACKROCK SHIFTS FUNDS AMID ETF OUTFLOWS:While new equity enters the market, spot ETFs are seeing capital exit.indicates that U.S. spot bitcoinand etherETFs recorded nearly $1B in combined outflows on Wednesday. Amidst this activity,collected by Arkham Intel reveals that wallets linked to BlackRockmoved over $430M in crypto to Coinbase Prime wallets. The transfers are likely related to redemption settlements rather than discretionary selling, despite the heavy net outflows from their IBIT and ETHA funds.STRATEGY REDUCES CREDIT RISK AS EQUITY VALUE RISES:Corporate treasuries are also adjusting their capital structures to manage volatility., Strategyhas seen its credit risk decline as the value of its perpetual preferred equity, now at $8.36B, has surpassed its outstanding convertible debt. This shift toward permanent capital is intended to reduce refinancing risks associated with its aggressive bitcoin accumulation strategy.STRIVE PROPOSES STOCK SALE TO REPAY DEBT:Following a similar playbook, Striveis leveraging the equity markets to clean up its balance sheet and acquire more digital assets.. The proceeds will be used to repay debt inherited from its acquisition of Semler Scientific and to purchase additional bitcoin, further cementing its position as a bitcoin-treasury company.INFLATION RESURGENCE THREATENS DISINFLATION BETS:These corporate maneuvers come as macro headwinds potentially gather strength. New researchfrom Lazard and the Peterson Institute suggests U.S. inflation could climb above 4% this year. Such a resurgence would challenge the "disinflationary" thesis that has buoyed risk assets, potentially forcing the Federal Reserve to maintain higher interest rates longer than markets anticipate.TOKENIZATION EXPANDS TO TREASURIES AND YIELD FUNDS:Despite macro uncertainty, the tokenization of real-world assets continues to gain traction., F/m Investments is seeking SEC approval to tokenize shares of its $6B Treasury ETF. Concurrently, Nomurasubsidiary Laser Digital has launched a tokenized bitcoin yield fund targeting 5% returns,. Even government entities are exploring the space, with Binance co-founder Changpeng Zhao stating he is in talks with a dozen governments regarding asset tokenization, in comments taken from the World Economic Forum.JPMORGAN DOUBTS ETHEREUM ACTIVITY SPIKE LONGEVITY:In the blockchain infrastructure sector, JPMorganremains skeptical of the recent activity surge on the Ethereum network.that while the "Fusaka" upgrade lowered fees and boosted transactions, analysts at the bank warn that competition from layer-2 networks and rivals like solanaposes a long-term risk to Ethereum's dominance.BANK LOBBY TARGETS STABLECOIN YIELD POLICIES:Regulatory friction between banks and crypto firms continues to heat up in Washington.. Bank of AmericaCEO Brian Moynihan has previously warned of deposit outflows if such digital assets are not strictly regulated, a sentiment echoed by new policy priorities from the banking lobby.PRICE ACTION:As of time of writing, bitcoin was trading at $88,895.99, while ether was trading at $2,937.62,.
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Emerging Trends in Blockchain Investment
- Investment Recovery: In 2023, venture capital firms invested approximately $8 billion into crypto and blockchain-related companies, marking the highest level since 2022, indicating sustained interest in blockchain technology despite deal counts remaining below 2022 levels.
- Rise of Traditional Finance: Blockchain technology is gaining recognition from traditional finance, particularly in asset tokenization, with BlackRock founder Larry Fink emphasizing that blockchain will be central to future financial infrastructure, bridging traditional assets with on-chain tokens.
- Funding Dynamics: In the second week of February, 18 projects raised $62 million, with Inference Research alone securing $20 million, reflecting strong investor interest in projects that integrate digital assets with traditional finance, especially those powered by AI solutions.
- Sustainability Focus: Investors are prioritizing projects tied to real economic activities, with Pharos CEO Wish Wu noting that technical depth and capital efficiency are key focuses for investors this year, emphasizing that projects creating real value are more sustainable.
Citigroup Initiates Coverage of BitGo with Buy Rating
- Coverage Initiation: Citigroup has initiated coverage of BitGo Holdings (BTGO) with a Buy/High Risk rating, emphasizing the company's shift from core custody services to a broader institutional infrastructure business aimed at deeper wallet-to-workflow integrations to increase revenue from client spending.
- Strategic Shift: BitGo's strategy is designed to leverage the CLARITY crypto infrastructure bill, which is expected to enhance its market position through regulated DeFi and tokenization of real-world assets, as noted by analyst Peter Christiansen, who believes this will afford strategic value to BitGo.
- Market Reaction: Despite Citigroup's Buy rating being more bullish than the average Hold rating, BitGo (BTGO) shares slid 10% in Tuesday morning trading, mirroring Bitcoin's 2.7% dip to around $67,000, not far from its 52-week low of $60,200.
- Industry Context: Despite the challenging market environment, BitGo shows positive prospects amid the crypto winter, having previously raised $212.8 million in its IPO priced at $18 per share, indicating investor confidence in its future growth.
Three Companies Make Their Debut Today as the IPO Market Gains Momentum: SpaceX, OpenAI, and Anthropic on the Horizon.
Upcoming IPOs: Three new IPOs are set to launch today, attracting investor attention.
Key Players: The companies involved in these IPOs include SpaceX, OpenAI, and Anthropic.
Market Anticipation: Investors are particularly eager for these IPOs as they await significant developments later this year.
Investment Climate: The current market environment is buzzing with excitement over these high-profile companies entering the public market.
Biotech Company Focused on Hair Loss Sees Stock IPO Surge Despite Lack of Revenue.
Company Overview: Veradermics is a small biotechnology firm focused on developing drugs for hair loss.
Stock Market Performance: The company had a successful debut on Wall Street, with shares opening at $33, peaking at $40.01, and closing at $37.75, marking a 122% increase from its initial offering price of $17.
2026 IPO Market Starts Steadily with $2.6 Billion Raised
- IPO Market Performance: In January 2026, nine IPOs raised a total of $2.6 billion, although a backlog of startups indicated IPO plans, the overall deal count and proceeds fell below the ten-year average, reflecting cautious market sentiment.
- Sector Dynamics: The industrial sector's EquipmentShare.com led with $747 million raised, surging 33% on its first day, indicating strong investor demand for fast-growing companies viewed as resistant to AI disruption.
- SPAC Issuance Surge: January saw SPAC issuance reach a four-year high with 25 blank check deals raising $5.2 billion, providing hundreds of pre-IPO companies with an alternative path to public markets, reflecting growing interest in emerging technology firms.
- Active IPO Pipeline: By the end of January, the IPO pipeline included 216 companies seeking to raise approximately $12.4 billion, with 130 having filed or updated within the last 90 days, demonstrating ongoing market interest in new public offerings.
2026 IPO Market Starts Steadily with $2.6 Billion Raised
- IPO Market Performance: In January 2026, nine IPOs raised a total of $2.6 billion, reflecting a cautious market sentiment as this figure fell short of the ten-year average, particularly after the volatility experienced in Q4 2025.
- Sector Dynamics: The industrial sector led the month’s largest IPOs, with EquipmentShare.com raising $747 million, highlighting investor preference for fast-growing companies perceived as resilient to AI disruption.
- Emerging Trends: The fintech and biotech sectors showed signs of recovery at the start of 2026, notably with fintech PicPay becoming the first Brazilian IPO in four years, raising $434 million, although its shares fell 5% post-IPO.
- SPAC Activity: January saw SPAC issuance reach a four-year high with 25 deals raising $5.2 billion, indicating growing interest in pre-IPO companies opting for SPAC mergers, despite overall IPO activity remaining below 2021 peaks.
Emerging Trends in Blockchain Investment
- Investment Recovery: In 2023, venture capital firms invested approximately $8 billion into crypto and blockchain-related companies, marking the highest level since 2022, indicating sustained interest in blockchain technology despite deal counts remaining below 2022 levels.
- Rise of Traditional Finance: Blockchain technology is gaining recognition from traditional finance, particularly in asset tokenization, with BlackRock founder Larry Fink emphasizing that blockchain will be central to future financial infrastructure, bridging traditional assets with on-chain tokens.
- Funding Dynamics: In the second week of February, 18 projects raised $62 million, with Inference Research alone securing $20 million, reflecting strong investor interest in projects that integrate digital assets with traditional finance, especially those powered by AI solutions.
- Sustainability Focus: Investors are prioritizing projects tied to real economic activities, with Pharos CEO Wish Wu noting that technical depth and capital efficiency are key focuses for investors this year, emphasizing that projects creating real value are more sustainable.
Citigroup Initiates Coverage of BitGo with Buy Rating
- Coverage Initiation: Citigroup has initiated coverage of BitGo Holdings (BTGO) with a Buy/High Risk rating, emphasizing the company's shift from core custody services to a broader institutional infrastructure business aimed at deeper wallet-to-workflow integrations to increase revenue from client spending.
- Strategic Shift: BitGo's strategy is designed to leverage the CLARITY crypto infrastructure bill, which is expected to enhance its market position through regulated DeFi and tokenization of real-world assets, as noted by analyst Peter Christiansen, who believes this will afford strategic value to BitGo.
- Market Reaction: Despite Citigroup's Buy rating being more bullish than the average Hold rating, BitGo (BTGO) shares slid 10% in Tuesday morning trading, mirroring Bitcoin's 2.7% dip to around $67,000, not far from its 52-week low of $60,200.
- Industry Context: Despite the challenging market environment, BitGo shows positive prospects amid the crypto winter, having previously raised $212.8 million in its IPO priced at $18 per share, indicating investor confidence in its future growth.
Three Companies Make Their Debut Today as the IPO Market Gains Momentum: SpaceX, OpenAI, and Anthropic on the Horizon.
Upcoming IPOs: Three new IPOs are set to launch today, attracting investor attention.
Key Players: The companies involved in these IPOs include SpaceX, OpenAI, and Anthropic.
Market Anticipation: Investors are particularly eager for these IPOs as they await significant developments later this year.
Investment Climate: The current market environment is buzzing with excitement over these high-profile companies entering the public market.
Biotech Company Focused on Hair Loss Sees Stock IPO Surge Despite Lack of Revenue.
Company Overview: Veradermics is a small biotechnology firm focused on developing drugs for hair loss.
Stock Market Performance: The company had a successful debut on Wall Street, with shares opening at $33, peaking at $40.01, and closing at $37.75, marking a 122% increase from its initial offering price of $17.
2026 IPO Market Starts Steadily with $2.6 Billion Raised
- IPO Market Performance: In January 2026, nine IPOs raised a total of $2.6 billion, although a backlog of startups indicated IPO plans, the overall deal count and proceeds fell below the ten-year average, reflecting cautious market sentiment.
- Sector Dynamics: The industrial sector's EquipmentShare.com led with $747 million raised, surging 33% on its first day, indicating strong investor demand for fast-growing companies viewed as resistant to AI disruption.
- SPAC Issuance Surge: January saw SPAC issuance reach a four-year high with 25 blank check deals raising $5.2 billion, providing hundreds of pre-IPO companies with an alternative path to public markets, reflecting growing interest in emerging technology firms.
- Active IPO Pipeline: By the end of January, the IPO pipeline included 216 companies seeking to raise approximately $12.4 billion, with 130 having filed or updated within the last 90 days, demonstrating ongoing market interest in new public offerings.
2026 IPO Market Starts Steadily with $2.6 Billion Raised
- IPO Market Performance: In January 2026, nine IPOs raised a total of $2.6 billion, reflecting a cautious market sentiment as this figure fell short of the ten-year average, particularly after the volatility experienced in Q4 2025.
- Sector Dynamics: The industrial sector led the month’s largest IPOs, with EquipmentShare.com raising $747 million, highlighting investor preference for fast-growing companies perceived as resilient to AI disruption.
- Emerging Trends: The fintech and biotech sectors showed signs of recovery at the start of 2026, notably with fintech PicPay becoming the first Brazilian IPO in four years, raising $434 million, although its shares fell 5% post-IPO.
- SPAC Activity: January saw SPAC issuance reach a four-year high with 25 deals raising $5.2 billion, indicating growing interest in pre-IPO companies opting for SPAC mergers, despite overall IPO activity remaining below 2021 peaks.
