While London’s financial district once commanded the reverence of European capital markets, Bitpanda—the Vienna-based crypto platform backed by Peter Thiel and Alan Howard—has delivered a rather pointed verdict on the city’s current investment appeal by abandoning plans for a London Stock Exchange IPO entirely.
CEO Eric Demuth cited the LSE’s anemic trading liquidity as fundamentally incompatible with post-IPO success, noting insufficient active buyer and seller participation that would undermine the company’s valuation prospects. The critique carries particular sting given London’s historical dominance in European finance, yet the numbers tell an unmistakable story: UK IPO activity collapsed from over £8.8 billion in 2021 to a paltry £200 million in H1 2025.
The LSE’s liquidity crisis renders it fundamentally unsuitable for ambitious growth companies seeking robust post-listing valuations.
Instead, Bitpanda will pursue listings in Frankfurt or New York, seeking markets with deeper capital pools and robust daily trading volumes. The decision aligns with a broader exodus from London, exemplified by British fintech Wise‘s migration to NYSE for superior capital access—a rather embarrassing indictment when domestic companies flee their home market.
Frankfurt presents compelling advantages for Bitpanda’s European focus, offering regulatory alignment within the EU framework alongside continental Europe’s substantial investor base. The platform’s operational footprint—spanning Vienna, Amsterdam, Barcelona, Berlin, and Bucharest—naturally complements German market dynamics better than London’s increasingly isolated position post-Brexit. Bitpanda’s regulatory achievements include securing a MiCAR license from Germany’s BaFin, providing comprehensive passporting rights across all EU member states.
Bitpanda’s European-centric strategy appears well-calibrated, serving nearly 7 million users across 3,200 digital assets while maintaining regulatory compliance through multiple country licenses. The company’s B2B arm, Bitpanda Technology Solutions, already collaborates with Deutsche Bank and Société Générale, suggesting existing institutional relationships that could facilitate a Frankfurt listing. Bitpanda provides comprehensive educational resources and market insights to support both novice and seasoned investors navigating the cryptoasset landscape. The company’s positioning reflects the broader cryptocurrency market expansion where stablecoins alone command a market cap exceeding $228 billion, demonstrating institutional confidence in digital asset infrastructure.
The LSE’s declining competitiveness reflects broader UK capital market weakness, particularly problematic for fast-growing fintech and crypto firms requiring global capital access. Poor liquidity undermines investor confidence and creates valuation headwinds that sophisticated companies like Bitpanda simply cannot afford to navigate.
Ironically, while Bitpanda continues UK operations—even securing a partnership with Arsenal Football Club—the company clearly distinguishes between market presence and capital market viability. London may retain operational relevance, but its days as Europe’s premier listing destination appear increasingly numbered.
