Bithumb to Spin Off Non-Exchange Business by July 31, Targets 2025 Nasdaq IPO

The restructuring aims to enhance operational focus amid growing competition in the crypto exchange market.

April 22, 2025 — Bithumb, South Korea's second-largest cryptocurrency exchange, revealed it will spin off its non-exchange business into a new entity named 'Bithumb A' by July 31, as part of a strategic restructuring effort. The move, reported by The Block, is designed to isolate risks from non-exchange operations and boost the competitiveness of both divisions, with shares allocated at a 56:44 ratio between Bithumb and Bithumb A.

Strategic Restructuring and IPO Plans

The decision follows Bithumb's earlier announcement in March 2024 to separate its holdings business under a new entity, tentatively named Bithumb Investment, with a 60:40 share split, according to The Korea Herald. This latest split aims to further streamline operations, focusing the exchange on its core trading activities, which account for 90% of its revenue, while allowing 'Bithumb A' to manage investments and other non-trading ventures independently.

Bithumb has set its sights on an initial public offering (IPO) in the second half of 2025, appointing Samsung Securities as its underwriter. The exchange is exploring a potential listing on Nasdaq, a move that could enhance its global visibility, as noted in a CryptoSlate report. This follows Bithumb's unsuccessful attempt to list on Korea's KOSDAQ in 2020, which was halted due to regulatory uncertainties, per the same source.

Industry Context and Market Implications

Bithumb's restructuring comes amid intensifying competition in the crypto exchange space, with rivals like OKX, based in Seychelles, also vying for market share, per PitchBook. The exchange, which boasts 370 employees and a daily trading volume exceeding KRW 6.5 trillion at its peak, has long been a dominant player in South Korea, per PR Newswire. By isolating its non-trading risks, Bithumb aims to present a leaner, more focused entity for its IPO, potentially attracting international investors.

The move could set a precedent for other exchanges navigating regulatory and operational challenges. However, Bithumb faces hurdles, including South Korea's stringent crypto regulations and the need to rebuild trust after past security incidents. Community reactions on X were cautiously optimistic, with some users praising the focus on trading efficiency, while others questioned the timing of the IPO amid global market volatility.