A recent report presented at the Crypto Finance Conference in St. Moritz, Switzerland, reveals declining optimism for crypto companies’ initial public offerings (IPOs) as traditional financial institutions assume a more dominant role in the industry. In 2025, eleven crypto companies raised over $15 billion through IPOs, marking a record year; however, market trends have since shifted. Among 242 participants surveyed, 107 indicated that “traditional financial institutions are taking over the crypto industry,” reflecting a more than 50% increase from the previous year. This shift has led to reduced investment opportunities and heightened risks of market consolidation. Liquidity shortages are now considered the greatest threat, causing investors to reduce their crypto market investments.
Despite these challenges, regulatory environments for cryptocurrencies are improving in the United States and the United Arab Emirates. The U.S. has advanced to second place on the list of crypto-friendly regulatory countries, while the UAE maintains its leading position. Nevertheless, enthusiasm for crypto company listings is waning. This situation signals that investors and industry stakeholders are proceeding cautiously amid the growing influence of traditional finance and escalating market risks. Going forward, further reductions in crypto IPOs and accelerated market consolidation are likely, especially as liquidity continues to tighten.
Source: binance
