Bitpanda raised collective eyebrows in the European fintech corridors by opting out of a UK public listing. But why did Bitpanda snub the UK as a potential listing venue, you may ask?
Turns out that the Vienna-based fintech platform, backed by billionaire Peter Thiel, cited poor liquidity of the London Stock Exchange (LSE) as its main reason for opting out of its original plan.
According to a report published by the Financial Times on 26 August 2025, Bitpanda’s CEO, Eric Demuth, said that the company will instead focus on either Frankfurt or New York as its venue of choice when it goes ahead with a public offering.
While no timeline has been formalised, London is definitely off the list.
𝙅𝙐𝙎𝙏 𝙄𝙉: Bitpanda, a crypto exchange backed by billionaire investors Peter Thiel, has ruled out listing in London due to a lack of liquidity in share trading, making it the latest company to shun the UK’s capital markets. pic.twitter.com/gO14oxX4x2 — Marcel van Oost (@oost_marcel) August 26, 2025
Demuth confirmed that Bitpanda is not the only company that has shelved its London plans. Per Demuth, a lot of companies are moving away from the LSE.
He pointed to the British fintech, Wise, which recently moved its primary listing to New York after a shareholder vote. The British fintech made the move primarily due to a requirement for deeper capital pools and enhanced market liquidity.
Further to this, he confirmed the London bourse’s ongoing struggle to attract sufficient trading volume and investor depth.
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London’s Trading Scene Looks Dry: UK’s IPO Market Plunges To Lowest Point In Three Decades
Considering how London is struggling to retain its status as a leading IPO destination, the Bitpanda UK exit seems like a fair business decision.
The UK’s IPO market has plunged to its lowest point in three decades, with just £160 million to £182.8 million ($216m–$247.8 M) raised in the first half of 2025. This represents a massive decline from the £8.8 billion ($11.88 B) peak that occurred in 2021.
The fundraising climate has remained weak even after factoring in secondary offerings.
The London stock exchange now makes most of its income from being a data warehouse not listings… definitely not a good sign. pic.twitter.com/g6tyjp7Wpi
— Mohamed (@Mahalildn1) August 18, 2025
Demuth explained that while Bitpanda has recently entered the UK market, it still derives its main source of revenue from continental Europe.
Earlier in June, Carrie Osman, founder and CEO of the growth consultancy firm Cruxy, echoed the decline of the LSE.
Per Osman, there are several reasons why companies are delisting from the LSE. Some are structural, but the lack of liquidity is the main issue.
Her remarks came after the acquisition of a UK-based semiconductor company, Alphawave Semi, by Qualcomm, causing another high-profile departure from the LSE.
According to her, the UK’s weaker investing culture, compared to the US, where people often invest through 401(k) plans, is holding back the LSE.
On GlobalData’s Instant Insights podcast, she said, “I was looking at some facts, and I thought it’s very interesting that, for example, in the UK, about 23% of adults have stocks and shares. When we compare that to the US, it’s 62%.”
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Bitpanda UK Departure Reflects Broader Industry Trend
Bitpanda sidestepping the UK is indicative of a broader industry trend where companies are moving to greener pastures in search of greater liquidity, regulatory clarity and investor depth.
The US and continental Europe have emerged as public listing hotspots due to their receptive regulatory environments and institutional interest.
The New York Stock Exchange (NYSE) and the Nasdaq have become magnets for crypto native companies because of their friendlier policies and an institutional capital inflow under the Trump administration.
Earlier this year, Circle, the issuer of USDC stablecoin, raised $1.05 billion on the NYSE at an $8 billion valuation. Gemini and BitGo have followed suit to list in the US. Meanwhile, Bullish, another Thiel-backed exchange, publicly debuted on the NYSE this month.
The contrast with the LSE is stark. While the UK aims to lead in fintech, its IPO market continues to suffer from thin trading volumes and low investor appetite, raising questions about its viability for high-growth tech firms.
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Key Takeaways
- UK’s IPO market has plunged to its lowest point in three decades, with just £160 million to £182.8 million ($216m–$247.8 M) raised in the first half of 2025
- Bitpanda cancelled its UK listing plan due to the LSE’s poor liquidity
- Bitpanda will choose either Frankfurt or New York for its public offering
The post Did Bitpanda Just Snub UK Listing Over Liquidity Issues? appeared first on 99Bitcoins.
