Bithumb postpones IPO to 2028 amid regulatory and trading error fallout

Bithumb, one of South Korea's largest cryptocurrency exchanges, has delayed its initial public offering (IPO) until 2028. The company had originally planned to list in late 2025 but is now focusing on strengthening internal controls before going public.

The decision follows a series of regulatory challenges and a major trading error earlier this year. In early 2025, Bithumb faced a significant setback when a trading error led to the accidental distribution of around 620,000 Bitcoin, valued at roughly $43 billion. The incident triggered an investigation by South Korea's Financial Supervisory Service, which examined the exchange's internal controls and risk management systems.

Regulatory pressure increased further when the Financial Intelligence Unit fined Bithumb 36 billion won ($27 million) and imposed a partial business suspension. Despite these challenges, the company reported strong financial performance, with 2025 revenue reaching about 651 billion won ($430 million). It also expanded its domestic market share to over 30%.

During the annual shareholders meeting, Chief Financial Officer Jeong Sang-gyun confirmed the IPO delay. He stated that the company would work with Samjong KPMG, following an advisory agreement signed through the end of 2027. The goal is to improve accounting policies and internal controls before proceeding with the public listing.

Bithumb had initially aimed to go public in the second half of 2025. However, the extended timeline now targets 2028 as the exchange addresses regulatory concerns and strengthens its compliance framework. The delay in Bithumb's IPO reflects ongoing efforts to meet regulatory standards and rebuild investor confidence. With a revised listing target of 2028, the company will continue working with advisors to improve internal systems.

The exchange remains a major player in South Korea's crypto market, holding over 30% of the domestic share while navigating financial and operational challenges.