Animoca Brands Considers US IPO Amid Optimism Over Digital Asset Regulations and Market Opportunities

• Animoca Brands is shifting its focus to a US IPO, driven by optimism around digital asset regulations in the US, signaling a pivotal moment in crypto finance.

• This strategic pivot from previous plans centered in Hong Kong and the Middle East underscores the company’s confidence in the US market’s potential.

• With a reported portfolio of over 540 Web3 investments, Animoca is positioned as a frontrunner in crypto and metaverse sectors, showcasing robust financial performance.

Animoca Brands is set to go public in New York, capitalizing on favorable US digital asset regulations, aiming to lead the crypto and metaverse space.

Animoca Brands Plans to Go Public in New York

In a recent interview with the Financial Times, Animoca Brands co-founder and executive chair Yat Siu announced the company’s expedited plans for a U.S. IPO. A formal announcement might occur “soon,” reflecting a strategic shift in their market focus.

Siu pointed to the Trump administration’s positive attitude towards digital asset regulation as a key motivator, describing it as a “unique moment” to tap into the world’s largest capital market.

The executive elaborated that various shareholding structures were being considered, emphasizing that market conditions would unlikely dictate their IPO timelines.

“If the U.S. hadn’t shifted regulatory stances [under Biden], we would probably be facing serious competition in the U.S.,” Siu stated. “It’s the biggest market, so we should go there. It’s a unique moment in time, and not seizing it would be a significant missed opportunity,” he added.

Animoca’s decision to pursue a public offering in New York marks a striking diversion from its earlier ambitions for potential listings in either Hong Kong or the Middle East by early 2025.

By choosing to bypass the Middle East—known for its crypto-friendly regulations—Animoca signals a growing conviction in the US market’s prospects.

Notably, the regulatory atmosphere under Trump is inciting a trend of crypto firms relocating to the U.S., visible in the migration of platforms like Deribit, the largest crypto options exchange.

Additionally, the pro-crypto policies implemented during Trump’s tenure have fostered an inviting environment for firms like Gemini and Kraken, with Gemini already filing confidentially for a public listing.

Animoca’s Turbulent History with Public Markets

The announcement of a New York IPO holds particular resonance in light of Animoca’s troubled past with public markets. The Australian Stock Exchange (ASX) delisted the company in 2020 due to governance concerns and uncertainties regarding the legal status of some crypto holdings.

Since that time, Animoca has transformed into a leading investor in the Web3 ecosystem, holding stakes in over 540 companies, including notable players like OpenSea, ConsenSys, and Kraken. According to Siu, the motive behind going public now transcends mere capital acquisition.

“We consider ourselves the largest non-financial services crypto firm. Going public is a way to declare that there is a business in crypto that isn’t adhering to conventional crypto norms,” he stated.

Financially, Animoca is demonstrating robust momentum, reporting an unaudited EBITDA of $97 million on revenue of $314 million for the fiscal year ending December 2024. This marks an impressive 185% increase from a previous EBITDA of $34 million on revenue of $280 million.

Currently, Animoca Brands retains nearly $300 million in cash and stablecoins alongside $538 million in digital assets.

Data from Cryptorank.io also highlights Animoca as a leading investment firm in crypto, showcasing investments in more than 400 projects with an average ROI of 1.93X.

With the introduction of Moca Coin, a native token aimed at supporting the Mocaverse ecosystem, Animoca is further solidifying its presence in the burgeoning metaverse and GameFi sectors.

This IPO could represent a watershed moment for Animoca, underscoring how swiftly regulatory changes can reshape the landscape for Web3 innovation.

According to CoinGecko, the MOCA token experienced a modest uptick of 3% on this news, trading at $0.1019 at the time of reporting.

Conclusion

The strategic pivot of Animoca Brands towards a U.S. IPO heralds a significant moment in the crypto landscape. This move reflects not only a robust financial trajectory but also the shifting regulatory tides that could redefine global opportunities in the Web3 space. For stakeholders and observers alike, the potential listing stands as a compelling case of how market dynamics can influence investment strategies and corporate trajectories in today’s evolving digital economy.