Clear Street is preparing to list its shares in a deal that people close to the plan allegedly say could value the New York broker between $10 billion and $12 billion.
According to the Financial Times, the company wants to move as early as next month, though the timing may change because Goldman Sachs is expected to run the transaction and prefers a January window.
Clear Street's Role in Crypto Treasury Deals
Clear Street has been active all year in the crypto treasury community, advising companies that wanted exposure to digital tokens while markets were pushing prices to record levels.
The firm launched in 2018 and grew fast as more public companies tried to boost their balance sheets with bitcoin and other tokens. This trend was notably followed by Strategy, the group led by Michael Saylor, which, since 2020, has raised billions in debt and equity to buy 650,000 bitcoin.
Several companies copied that move this year and hired Clear Street to help structure their offerings. One adviser close to those deals stated that the firm “became the easy pick for anyone trying to raise money around crypto holdings.”
Expanding Deal Activity and Notable Clients
The firm built a strong role in crypto-linked stock offerings, including significant work for Strategy, which turned its bitcoin bet into one of the biggest stories in public markets.
Clear Street also handled deals for Trump Media & Technology Group, which earlier this year announced its aim to raise billions to establish its own bitcoin treasury vehicle. The broker’s website lists $91 billion in equity, debt, and M&A transactions this year, including deals tied to Anthony Pompliano and Vivek Ramaswamy.
Market Pressures and IPO Landscape
The crypto treasury model is now facing pressure as token prices have fallen from their highs. Strategy’s stock is down 60% in six months, and Bitcoin has dropped 30% since early October.
Many of the smaller companies copying Strategy now trade below the market value of the tokens they hold, which makes it difficult for them to raise new money for further purchases.
Clear Street is proceeding with its IPO during a year when US listings have been steady but not exceptionally strong. Dealogic data indicates that 316 IPOs have occurred since January, raising approximately $63 billion, marking the highest total since 2021.
However, several large companies have encountered difficulties after their debut. For instance, Figma saw its valuation jump to $60 billion in July, but its stock has since fallen nearly 70%, making it one of the sharpest post-listing drops of the year.