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TEXXR

Chronicles

The story behind the story

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Dealogic: 51 US tech IPOs raised $16.8B in 2025, driven by AI and crypto, above the past three-year average but far below 2021's 127 IPOs raising $74.4B

The drought in initial public offerings ended this year, led by big winners in AI and crypto, but gains were rare for companies outside those industries.

The Information Valida Pau

Context & Ripple Effects

The reopening follows a sharp reset: US tech IPO proceeds fell from 2021 levels to $8.6B in 2022 in the earlier post-boom IPO collapse. 2025 activity has recovered above the intervening three-year average, but remains well below the prior peak.

The recovery is narrow rather than broad-based. AI and crypto supplied the winning listings, while companies outside those categories saw few comparable gains, making this a selective return of the public-market exit channel.

First-order effects

  • AI- and crypto-linked private companies have a more receptive route to public capital and liquidity than other tech issuers.
  • Banks, investors and prospective issuers must price against a market that has reopened in volume but is still far smaller than 2021's issuance boom.

Second-order effects

  • Private companies outside AI and crypto face a stronger incentive to delay listings or seek other financing, since the reported aftermarket gains have not been widely shared.
  • The concentration of successful deals can steer underwriting attention and investor demand toward businesses tied to AI investment and crypto, rather than lifting tech-IPO valuations broadly.

Third-order effects

  • If issuance remains concentrated, the IPO market could become a more sector-dependent financing channel, opening most readily when a dominant technology theme has public-market sponsorship.
  • A sustained but sub-peak reopening would restore an exit option without recreating the broad valuation environment that preceded the 2022 proceeds collapse.

The trend: The tech IPO market is shifting from a general reopening toward a theme-led capital market in which AI and crypto determine which companies can access public funding most effectively.