RootData SG Summit Roundtable Discussion: TGE, IPO or Exit through Acquisition?

ChainCatcher live report, MEXC Strategic Investment Director Leo Zhao, Mask founder Suji, Galaxy Digital Asia COO John Cahill, and WebX International Holdings investor Abraham attended the "RootData SG Summit," a Crypto Capital Market themed forum hosted by ChainCatcher and RootData during TOKEN2049 in Singapore. They shared insights in the roundtable discussion "TGE, IPO, or M&A Exit?" exploring current exit strategies in the crypto industry.

The meeting pointed out that IPOs from companies like Circle and Coinbase, as well as an increase in crypto mergers and acquisitions, are surging, as acquirers can buy at a 10x earnings multiple and exit at a 50x earnings multiple. Additionally, the regulatory environment in the U.S. is improving, and traditional financial institutions have begun to invest, with digital asset ETFs lowering the investment threshold.

DAT has emerged as the best option for new exits, combining the advantages of TGE and IPO. However, the discussions also highlighted the need to be aware of premium risks. Mask founder Suji emphasized the need for the industry to establish clearer token governance mechanisms and M&A frameworks. John Cahill from Galaxy Digital stated that the industry is moving towards integration and abstraction, making it easier for general investors to access crypto assets.

Furthermore, Leo Zhao shared observations from engaging with over 100 global crypto exchanges in the past year, noting that the industry is undergoing a large-scale consolidation phase. After the EU MiCA license approval, small and medium-sized exchanges are facing closure pressures, while stronger exchanges are actively pursuing local acquisitions. He emphasized that the emergence of IPOs has finally established the logic of mergers and acquisitions, with Robinhood, Coinbase, and Kraken actively acquiring to expand their businesses.

Abraham pointed out that the DAT market has evolved from a stage where no one believed in it to one where investors are seeking logical and compliant premiums. Abraham is particularly optimistic about market opportunities in capital-controlled countries (such as China and India), believing that whoever can open these markets first will become a regional star.

The guests suggested that market founders should choose appropriate exit tools based on their business models and pay attention to compliance and actual revenue performance.