British “bitcoin-bank” prepares for IPO worth $ 52 million

The listing could be announced next month. In anticipation of it, Mode expects to attract additional financing – now the company is looking for investors.

British fintech company Mode (formerly R8 Group) plans to place shares of its “bitcoin bank” on the stock market and thus raise about £ 40 million (approximately $ 52.6 million). As reported by The Daily Telegraph, the company may officially announce its listing next month.

Launched in 2019, the Mode app allows its customers to buy and sell Bitcoin, send cryptocurrency to other users, and also make money on deposits. The function of online payments will soon appear in the app – a payment department has already been created in Mode, which cooperates with Chinese Alipay and WeChat Pay.

Mode’s website says that its clients’ assets are stored at an unnamed but “respected” custodian. The latter provides insurance coverage of “up to $ 100 million” through the world’s largest insurance market, Lloyd’s of London. Earlier it was reported that Mode is a client of the BitGo service.

At the end of August, the R8 Group launched a rebranding of the company to “bring together the different enterprises of the Group under a common identity.” At the same time, the company announced the hiring of former Alipay chief executive Rita Liu as the new commercial director of Mode.

According to The Daily Telegraph, in anticipation of the upcoming IPO, the company expects to raise an additional £ 7.5 million (approximately $ 9.9 million) in funding. Mode is now actively looking for investors.

As expected, after the pause caused by the COVID-19 pandemic, another wave of IPOs is rising in the stock market. Mode can join the galaxy of cryptocurrency companies that have already announced plans for the placement.

Recall that in June, the Chinese mining company Ebang was listed on the NASDAQ stock exchange. Cryptocurrency exchange Coinbase and blockchain company Diginex are planning to list on NASDAQ. Bithumb also plans to go public, but this time in the South Korean market.

Note that not all companies choose the IPO procedure to place their shares on the stock market. Some, like Coinbase, are going to use the direct listing process. Others, such as blockchain company INX, conduct “digital IPOs,” which are essentially security token offerings (STOs).

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