Canaan Bitcoin IPO has been launched successfully, making it the first-ever bitcoin company to go down the ‘Initial Public Offering’ (IPO) route. SEC filings have confirmed the same, and the event marks an important milestone in the crypto industry.
Canaan manufactures bitcoin mining equipment. It acquires the most significant market share after the market leader Bitmain. As per Bloomberg, the first offering raised ninety million dollars ($90M), which featured ten million (10M) shares priced at nine dollars each. The goal of Canaan Bitcoin IPO was to reach four hundred million dollars ($400M) in this IPO round, but their hopes were dampened when Credit Suisse Group AG withdrew as their lead underwriter. Instead, the offering was moved with the help of CMB International Capital Ltd., China Renaissance Holdings Ltd., and Citigroup Inc.
Canaan Bitcoin IPO represents the evolution of Bitcoin
The NASDAQ Global Market symbol for the company is ‘CAN.’ Canaan’s closest competitor, Bitmain, to is looking go the IPO route. However, details are still unclear how they will raise funds. Coinbase is also rumored to be considering an IPO launch soon, but no confirmed reports have emerged yet.
The company’s structure will now change drastically after the Canaan Bitcoin IPO since it has become a public company. Stockholders will now govern the company’s destiny as they exercise executive control and can exert their influence even with minuscule movements in the stock volume. The public disclosure of profits and revenue will help bring more transparency in the bitcoin realm, which otherwise remains away from the mainstream.
Invest indirectly in Bitcoin
Investing in bitcoin is still considered risky. However, Canaan’s stock can change this perception. By buying Canaan stock, investors can invest in bitcoin, albeit indirectly. It being a core bitcoin mining company represents an alternative way to invest in the bitcoin without buying…