Key Points
- Genesis Digital Assets is considering an IPO in the U.S, despite significant investment from Alameda Research.
- The Bitcoin mining firm is planning a pre-IPO funding round in the coming weeks.
Genesis Digital Assets Contemplates IPO
Genesis Digital Assets, a Bitcoin mining company based in Texas, is reportedly considering a U.S. initial public offering (IPO).
Despite substantial backing from the now-disgraced hedge fund Alameda Research, the firm is still contemplating this move. Alameda Research was founded by Sam Bankman-Fried.
Pre-IPO Funding Round in the Works
According to a report, Genesis Digital Assets is actively working with advisors to accelerate its IPO plans. The firm is targeting a pre-IPO funding round in the near future.
However, it remains uncertain whether the company plans to finalize the IPO by the end of 2024, as talks are still ongoing.
Genesis Digital Assets, established in 2013, has raised over $1.61 billion in total. This includes $1 billion from Alameda Research in April 2022, which elevated the company’s valuation to approximately $5.5 billion.
The firm operates with a power capacity of over 500 megawatts across 20 data centers located in North America, Europe, Central Asia, and South America.
In November 2022, FTX and its affiliated entities, including Alameda Research, collapsed amid allegations of embezzlement and misappropriation of billions of dollars in customer funds. The founder of the exchange, Sam Bankman-Fried, was sentenced to 25 years in prison and ordered to pay back $11 billion.
