The encryption IPO boom is expected to reignite! Trump's vision drives a new wave, with major players placing their bets.

After keeping watch for some time, some major Wall Street banks are now planning how to win more cryptocurrency business, betting that President Donald Trump's support for the industry will trigger a wave of IPOs, stock offerings, and convertible bonds. According to sources familiar with the matter, Morgan Stanley's influence in this area was not significant previously, but is now working to attract potential clients for initial public offerings (IPOs). At Bank of America Corp, executives in the investment banking department are discussing the possibility of facilitating trades for digital asset companies. One source stated that Royal Bank of Canada completed its first cryptocurrency trade at the end of last year and is now seeking to expand its business. Banks are seeking to establish deeper connections with cryptocurrency companies in order to avoid missing out on transactions driven by the looser regulations under Trump, who proclaims himself the "cryptocurrency president." Gemini, a cryptocurrency company supported by billionaire twins the Winklevosses, is the latest company considering an early listing this year, along with Bullish, a cryptocurrency asset exchange operator supported by billionaire Peter Thiel. Circle Internet Financial Ltd. and cryptocurrency exchange Kraken have long been hoping to go public. Representatives from Morgan Stanley, Royal Bank of Canada, and Bank of America Corp declined to comment. During his campaign, Trump promised to make the United States the "capital of cryptocurrency on Earth," and since taking office, he has been seeking to completely reform the regulations that cooled off cryptocurrency activities during the Biden administration. Trump recently issued an executive order regarding digital assets, and the U.S. Securities and Exchange Commission (SEC) has established a cryptocurrency special working group led by long-time industry advocate Hester Peirce. White House cryptocurrency czar David Sachs stated that he is researching the feasibility of the new president establishing a national bitcoin reserve. Resurging Delayed IPOs This may help kick off a wave of IPOs that have been delayed for years due to government crackdowns on companies in the industry. Banks have also faced obstacles with reviews, as regulatory agencies have required some banks to pause or delay plans or ongoing cryptocurrency activities, and provide more information. Up to now, businesses in the crypto industry have mainly raised funds through IPOs, equity financing, and convertible bonds, mainly directed towards a relatively fixed group of lenders. However, the largest investment banks have been cautious in this area, selectively participating. The most prominent publicly listed companies in the crypto industry remain Coinbase Global (COIN.US), with Goldman Sachs Group, Inc., JPMorgan Chase, Allen & Co., and Citigroup gearing up for a heavily publicized direct listing in 2021. Jefferies Financial Group Inc. has also been active in the cryptocurrency trading sector, providing consulting services for a potential listing for the cryptocurrency exchange Bullish alongside JPMorgan Chase. They are also one of the banks working with Figure Technologies Inc. on an IPO, a financial technology company co-founded by former SoFi Technologies Inc. executive Mike Cagney. Moelis & Co. and Cantor Fitzgerald are also active in this area. Although Morgan Stanley did not participate in Coinbase's trading, the bank did assist a cryptocurrency exchange in selling convertible bonds last year. One source stated that the company is eager to participate if the future IPO wave becomes a reality. IREN stated that the company hired Morgan Stanley in July of this year to assess "profit opportunities in the artificial intelligence data market." IREN operates data centers that provide services for bitcoin mining and artificial intelligence cloud services. At the end of last year, Royal Bank of Canada helped arrange the sale of convertible bonds for the cryptocurrency mining company Core Scientific Inc. The bank's website shows that the number of Bitcoin and cryptocurrency issuers entering the market has increased since the election. One source stated that the Canadian bank had previously taken a more conservative attitude towards cryptocurrency, but is now ramping up its efforts while being selective about the clients it chooses. Banks are compiling a list of potential cryptocurrency IPO candidates, with the market generally optimistic about the industry. Earlier this year, this optimism pushed the largest and longest-standing digital token, Bitcoin, to record highs. Signs of renewed interest from banks are also appearing elsewhere, such as a senior foreign exchange strategist at HSBC HOLDINGS now also holding the title of Director of Digital Asset Research. Sources familiar with the matter revealed that as Bank of America Corp prepares for more trading activities, discussions within the company's investment banking department regarding cryptocurrencies are heating up, with the bank eager to profit from the hundreds of millions of dollars in fees that these trades could generate. Bank CEO Brian Moynihan stated in an interview earlier this year, "We know how to get into this space. From a trading perspective, I think you will see the banks taking action." "Our CEO at the time stated that the company hired Morgan Stanley in July of this year. They wanted to help them assess the profit opportunities in the artificial intelligence data market," IREN management said.