U.S. IPO Market Underperforms S&P 500 as #Crypto Stocks Slide


Companies that launched initial public offerings in 2025 delivered returns below the broader market benchmark, with crypto and artificial intelligence debuts contributing significantly to the underperformance. Bloomberg reported Monday that U.S. IPOs gained 13.9% on a weighted average basis, trailing the S&P 500's 16% advance for the same period.


The crypto industry executed several major public debuts last year following increased confidence from Wall Street regarding the incoming Trump administration's regulatory posture. Circle Internet Group's $1.05 billion offering in June stood as one of the sector's most prominent launches, pricing at $31 per share. The #stablecoin issuer's stock jumped 170% on its first trading day, though shares subsequently retreated to close 2025 at $79.30.


$CRCL reached a peak above $263 before declining nearly 70% to current levels around $84.80. The volatility illustrates broader challenges facing #crypto equities despite initial enthusiasm.


Gemini, operated by the Winklevoss twins, experienced even steeper losses after its September debut on Nasdaq. The exchange priced its IPO at $28 and briefly touched $32.50 before plummeting 64.5% to $9.92 by year-end.


Bullish, another crypto exchange, went public in August at $37 and surged to $68 on its first day. By Dec. 31, shares had fallen back to $37.87, nearly erasing gains from the debut. These performance patterns contrast sharply with earlier expectations that crypto companies would benefit from improved #regulatory clarity and institutional adoption throughout 2025.

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January 06, 2026 at 12:49 PM
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