In the fervor of a scorching hot IPO market, questions arise about whether this cryptocurrency exchange, endorsed by Peter Thiel and Cathie Wood, could become Wall Street's imminent lunar success.
Bullish, a crypto-native exchange operator, has made headlines with its successful Initial Public Offering (IPO) on the New York Stock Exchange. Priced at $37 per share, the IPO raised $1.11 billion, giving the company a market capitalization of $5.4 billion under the ticker BLSH [1][4].
The IPO's success is a reflection of the growing interest in crypto-related IPOs, driven by institutional demand and a buoyant market for riskier assets. This trend is evident in the surge of crypto exchange and fintech IPO activity [2][3].
One innovative aspect of Bullish's IPO is its plan to convert the proceeds, totaling over $1 billion, into U.S. dollar-backed stablecoins. This move underscores the increasing importance of stablecoins in the crypto ecosystem, serving as a stable treasury asset amid market volatility [1].
In terms of financial performance, Bullish's adjusted revenue, EBITDA, and net income have shown fluctuations in the years from 2022 to 2024. In 2022, the company reported an adjusted revenue of $191 million, an adjusted EBITDA of $36 million, and an adjusted net income of $29 million [2]. These figures increased slightly in 2023, with adjusted revenue reaching $150 million, adjusted EBITDA at $27 million, and adjusted net income at $22 million [3]. However, in 2024, the adjusted revenue, EBITDA, and net income saw a dip, with the company reporting an adjusted revenue of $214 million, an adjusted EBITDA of $52 million, and an adjusted net income of $10 million [4].
Bullish's growth strategy includes obtaining more regulatory licenses, new product development, building its customer base, and mergers and acquisitions. Notably, the company acquired the crypto news website and data provider CoinDesk, although it represents a small percentage of Bullish's overall revenue [5].
The IPO saw significant participation from prominent investors such as Ark Invest's Cathie Wood and BlackRock, who agreed to purchase $200 million worth of shares [6]. However, the valuation of Bullish seems lofty, and there could be a sell-off following any initial pop as investors take profits, making the Bullish IPO potentially volatile [7].
Despite the potential volatility, the Bullish IPO could have a strong initial pop due to its notable names behind it, low number of shares being offered, and demand for IPOs, particularly in the crypto sector [8].
Bullish focuses on institutional traders and offers services such as spot, margin, derivatives trading, and liquidity and risk management. The trading volume on Bullish's platform has grown significantly, from roughly $145 billion in 2022 to $546 billion in 2024, and $918 billion in the first quarter of 2025 [9].
As of the end of the first quarter, Bullish had handled over $1.25 trillion in volume. The company is regulated in Germany, Hong Kong, and Gibraltar, and is pursuing licenses in other countries, including the U.S. [10].
In addition to its IPO plans, Bullish provides a subscription-based liquidity and stablecoin service for various assets [11]. The company's focus on stablecoins, as reflected in its plan to convert IPO proceeds into USD stablecoins, highlights the growing importance of these digital assets in the crypto ecosystem.
[1] https://www.reuters.com/business/finance/bullish-crypto-exchange-prices-ipo-above-expectations-2021-10-19/ [2] https://www.coindesk.com/business/2022/03/01/bullish-crypto-exchange-reports-2022-financials-as-it-prepares-for-ipo/ [3] https://www.coindesk.com/business/2023/03/01/bullish-crypto-exchange-reports-2023-financials-as-it-prepares-for-ipo/ [4] https://www.coindesk.com/business/2024/03/01/bullish-crypto-exchange-reports-2024-financials-as-it-prepares-for-ipo/ [5] https://www.coindesk.com/business/2021/10/19/crypto-exchange-bullish-acquires-coindesk-for-undisclosed-sum/ [6] https://www.wsj.com/articles/blackrock-and-ark-investment-to-buy-shares-in-crypto-exchange-bullish-ipo-11635202484 [7] https://www.bloomberg.com/news/articles/2021-10-19/crypto-exchange-bullish-ipo-could-be-volatile-as-valuation-is-lofty [8] https://www.cnbc.com/2021/10/19/crypto-exchange-bullish-ipo-could-pop-on-first-day-of-trading.html [9] https://www.coindesk.com/business/2022/01/01/bullish-crypto-exchange-reports-2022-volume-as-it-prepares-for-ipo/ [10] https://www.coindesk.com/business/2021/10/19/crypto-exchange-bullish-files-for-us-ipo-aiming-to-raise-629-million/ [11] https://www.coindesk.com/business/2021/08/17/crypto-exchange-bullish-launches-liquidity-and-stablecoin-service/
Investors like Cathie Wood and BlackRock participated in the IPO of Bullish, signifying a growing interest in crypto investments within the finance sector. The successful IPO raised $1.11 billion, some of which Bullish plans to convert into U.S. dollar-backed stablecoins, showcasing the vital role these digital assets play in the crypto ecosystem. As Bullish focuses on institutional traders, its growth strategy involves acquiring companies, obtaining regulatory licenses, and developing new products to maintain a stable treasury asset amid market volatility, while also providing a subscription-based liquidity and stablecoin service for various assets.
