Exodus Wallet Offers Shares Ahead of Coinbase IPO
Crypto wallet company Exodus has begun to sell shares of its company stock, according to a recent press release.
Exodus Begins to Offer Shares
Exodus says that it received permission this week from the U.S. Securities and Exchange to begin offering shares of its wallet company as Class A common stock under Regulation A.
The company began to sell the stock at 9:00 PM EST on Thursday, Apr. 8, 2021 at a price of $27.42 per share.
The company’s approach is unique due to the fact that it chose to sell shares on its own in-app trading platform rather on than mainstream exchanges. Exodus CEO JP Richardson explained on Twitter: “While the stock market was closed, we were selling Exodus stock in a crypto-only public offering all within Exodus.”
More Upcoming Offerings
The news comes less than a week before crypto exchange Coinbase plans to launch an IPO on the public stock market. Kraken, also a crypto exchange, doubled down on its plans to go public in 2022 after initially suggesting that course of action in late March.
Stock and crypto trading company Robinhood is additionally planning a stock offering, according to recent reports.
While early blockchain companies tended to carry out crypto-based ICOs rather than stock offerings, regulations have made it difficult to run an ICO. Furthermore, the companies listed above are all well-established and have attracted corporate and VC investments in the past; stock offerings may appeal to those same investors.
Those factors could partially explain why crypto exchanges are turning toward traditional stock offerings.
At the time of writing this author held less than $75 of Bitcoin, Ethereum, and altcoins.