Bithumb, a major South Korean crypto exchange, could go public in the US through a reverse merger, CNBC reports. If that does happen, Bithumb will be the very first cryptocurrency to launch an IPO.
Blockchain Industries (BCII), a fintech holding company, has struck a deal with a Singapore-based company Blockchain Exchange Alliance (BXA) to become a single publicly traded digital asset exchange. CNBC states that the BXA initially mulled over going public in Singapore, but that plan was scrapped due to the fact that it would take more than two years to complete an IPO. Hence, they decided to opt for a non-traditional way of going public by forming a reverse merger. The BXA took taking notes from Mike Novogratz who listed his merchant bank in Canada in a similar fashion.
The BXA was created by Bithumb in order to consolidate industry players by forming a cross-regional financial service net (it has a controlling interest in Bithumb Holding). BXA CEO Dr. Byung Gun Kim claims that the US market has a lot of potential for future growth. Obviously, they won’t be able to create a truly global alliance without making a foray into the biggest cryptocurrency market in the world.
AP has recently released a correction, which claims that the business combination hasn’t been executed as of now. The merger is expected to be completed before Mar. 1, 2019.