Digital asset custodian Copper explores public market debut amid rising institutional interest: Report
The move toward a possible IPO could further establish cryptocurrency custody services as essential financial infrastructure following BitGo's stock market debut.
Cryptocurrency custody provider Copper is said to be considering an initial public offering (IPO) in the wake of competitor BitGo's recent debut on the New York Stock Exchange, highlighting the increasing institutional demand for digital asset infrastructure providers.
According to sources familiar with the matter cited by CoinDesk on Thursday, Copper is examining potential pathways to a public market listing, with major financial institutions including Deutsche Bank, Goldman Sachs and Citigroup participating in the discussions.
While a Copper spokesperson stated that the firm is not presently planning to go public, they refused to comment on whether the company is engaged in preliminary discussions regarding a potential listing.
With backing from Barclays, Copper delivers institutional-quality custody, settlement and collateral management solutions engineered to assist financial institutions in storing and transferring digital assets while minimizing counterparty risk exposure.
According to Cointelegraph's reporting from last year, Cantor Fitzgerald chose Copper as one of its Bitcoin (BTC) custody providers along with Anchorage Digital. The company also established a partnership with Coinbase to enable off-exchange settlement capabilities for institutional customers.
Financial institutions' interest in cryptocurrency assets has experienced sustained growth amid evolving regulatory frameworks in the United States. A second major crypto custody provider pursuing public markets would serve to further validate the industry's position as critical financial market infrastructure, placing it on par with conventional clearinghouses and traditional custodial banking institutions.
BitGo IPO highlights crypto's growing momentum on Wall Street
BitGo made its entrance into US capital markets during the previous week, establishing its initial public offering price at $18 per share following the completion of a fundraising round that generated over $200 million in gross proceeds through the distribution of 11.8 million Class A common shares.
Similar to numerous recent cryptocurrency-related IPOs, BitGo's stock experienced a significant uptick during initial trading sessions before experiencing a decline. The company's shares have subsequently dropped beneath their IPO price point and currently trade at approximately $1.4 billion in market capitalization.
This pullback demonstrates the market volatility that newly public digital asset enterprises encounter, despite the ongoing expansion of public market enthusiasm for the cryptocurrency sector.
Despite this volatility, BitGo's successful listing reinforces the cryptocurrency industry's expanding presence within traditional financial markets.
Throughout the previous twelve months, numerous digital asset firms have completed public listings, including Circle, which issues stablecoins, cryptocurrency trading platform Gemini, digital asset exchange operator Bullish, and Figure Technologies, a fintech company leveraging blockchain infrastructure for lending operations.
Additional cryptocurrency companies are also rumored to be evaluating potential public market debuts, including digital currency exchange Kraken and hardware wallet manufacturer Ledger.