The hype around cryptocurrency companies going public is fading as the markets are still considered insufficiently large for traditional financial companies (TradFi) which are increasingly interested in the sector.
Fewer investors are feeling as confident as last year, according to a report from the influential CfC St. Moritz crypto conference in Switzerland, which recorded the outlook and predictions of 242 respondents at the event.
After a record 2025 in which 11 IPOs raised $14.6 billion, “sentiment indicates a decrease in IPO intensity and an increase in consolidation risk,” the report said. Cash shortages are seen as the biggest threat, according to the report.
Out of 242 respondents, 107 believe “TradFi is taking over” crypto, up more than 50% year-over-year.
Participants, however, noted an improvement in crypto regulation in the United States and the United Arab Emirates. The United States moved from last to second place in regulatory favoritism in one year, reflecting growing confidence, and the United Arab Emirates remains the top jurisdiction.
“The CfC St. Moritz report reflects the thoughts of some of the most influential decision-makers in digital assets,” said Nicolo Stöhr, CEO of CfC St. Moritz. “Their responses indicate a clear shift in priorities, from hype to infrastructure, liquidity and regulatory credibility, as well as a rapidly evolving view of the U.S. market. This is informed capital speaking, and it reflects the real direction the industry is heading.”
