Crypto Funding Rounds Bring New Normal as Premiums Disappear

Crypto companies are raising billions of dollars in funding rounds and initial public offerings (IPOs), but investors are no longer willing to pay premiums that were once common.

Kalshi, a prediction market platform, is seeking $1 billion at a valuation nearly double its May valuation of $22 billion. Blockchain.com, an exchange and wallet provider, is reportedly looking to raise about $500 million in an IPO at a potential valuation of $4 billion to $6 billion.

The crypto treasury model has largely lost its early advantage, with most digital asset treasury (DAT) companies no longer commanding the premiums that once helped them raise capital. Only four of the 20 largest DATs by assets under management trade above their net asset value (NAV): Bit Digital, Strive, Hyperliquid Strategies, and BitMine.

Bitget CEO Gracy Chen said she is not very optimistic about recovering funds from the exchange's $388 million breach. The company initially reported $352 million lost before updating the figure to $388 million. NEAR Intents blocked more than $50 million tied to the attack, and Tether and Circle blacklisted a wallet, freezing $318,013 in USDT and USDC.