Bitcoin company Swan suspends IPO plans and mining division

Bitcoin-focused company Swan is shutting down its crypto mining business and withdrawing plans for an IPO “in the near future.”

California-based Bitcoin investment firm Swan is halting its plans for an imminent IPO and has decided to shut down its mining division just five months after its launch.

In an announcement on X, Swan CEO Cory Klippsten said the company was also moving away from its “accelerated spending plan” that included staff cuts “across many functions.” The Swan CEO explained that the decision was made because the company does not expect “significant near-term revenue” from its mining unit, which launched in late January and faced the Bitcoin halving in April – which reduced the mining reward from 6.25 BTC to 3.125 BTC.

“The Swans we laid off as part of our downsizing this week are some of the best Bitcoiners in the world and I would love to work with each and every one of them in the future.”

Cory Klipsten

Founded in 2019 by Yan Pritzker, Brady Swenson, Tom Giles, Dan Levine and Cory Klippsten, Swan offers investment services specifically for Bitcoin. The Calabasas-based company has raised a total of $204 million to date from over 30 investors, including Unpopular Ventures, Austin Hill, Baron Davis and CB3 Holdings, according to data from PitchBook.

In early 2024, Swan announced in a media release that it was planning another round of financing and was targeting an IPO in early 2025. However, it remains unclear whether the company was able to successfully raise the new capital before putting its IPO plans on hold.