Cryptocurrency mainstream adoption is gaining traction. An influx of institutional investors in the nascent field continues to accelerate adoption. Likewise, Mode Global Holdings is planning to go public, banking on the growing demand for crypto-focused investments in the market.
Mode Global Holdings IPO
The Bitcoin banking app is to go public as a part of an initial public offering that will result in the floating of 25% of its total share capital. The firm is eyeing £7.5 million from the listing on the London Stock Exchange main market. The IPO is to value the Bitcoin app close to £40 million. The firm is targeting institutional investors in the U.K and abroad with the offering.
Mode Global Holdings is a brainchild of entrepreneur Jonathan Rowland who previously founded Investment Company Jelly works, which went public in the LSE in 2000. The company was bought six months after the float.
Mode Bitcoin app is to become the first financial services company with a consumer-focused digital offering to list in the LSE. This would mark an important milestone in the firm’s ambitions of bringing credibility and transparency when it comes to digital assets that have been shrouded in mystery for years.
The Mode app is the company’s flagship app designed to allow users to manage their traditional digital assets from one place. The crypto-focused company also offers Bitcoin Jar a high yielding and flexible interest generating account for Bitcoin. In addition to offering a bitcoin banking app, Mode also offers accounts that people use to store their Bitcoin holdings. The app also offers payment capabilities in apps such as WeChat and AliPay.
Mode Global Plans
Listing on the LSE should pave the way for Mode Global to raise much-needed capital needed to advance the underlying technology. The company plans to develop its underlying intellectual property as well as fund marketing costs.
Mode also plans to launch payment solutions powered by Open Banking as part of its long term plan of enhancing cryptocurrency use. The ultimate goal is to enhance seamless transactions in traditional and digital currencies between businesses and people. A mainstream payment solution should allow Mode to create a significant revenue model than challenger banks.
In addition, Mode is in the process of creating a loyalty and rewards scheme for customers as part of an effort of expanding its client base in the U.K to enhance interconnection between U.K businesses and Chinese consumers.
A push into the payment systems comes at a time of growing digital payments and e-commerce. The COVID-19 pandemic has forced people to rely on digital payments and e-commerce to replenish all their needs. By offering a superior online and mobile payment system, Mode should be able to attract more people into its platform, especially those looking to use their bitcoin holdings.
Mode Global Holdings is going public at a time when Bitcoin is powering high amid a spike in institutional interest in the flagship cryptocurrency. The crypto is up by more than 50% for the year, having powered through the $10,000 level.