Positive U.S. Regulatory Environment Boosts Crypto IPOs and VC Funding
JPMorgan reports increased interest in IPOs and venture capital funding among crypto companies due to a favorable regulatory outlook in the U.S.
- Progress of the GENIUS Act in the Senate is key to this expectation.
- The act mandates federal regulation for stablecoins with a market cap over $10 billion.
- Current pace of crypto IPOs matches that of the 2021 bull market.
- Companies like Ripple, Kraken, ConsenSys, and Bullish are preparing for IPOs.
- Venture capital funding has surpassed 2023/24 levels on an annualized basis.
- IPOs offer investors diversification beyond major cryptocurrencies like Bitcoin and Ethereum.