CoinDesk
Hong Kong-based stablecoin payments company RedotPay says it has completed a financial audit as it prepares for a U.S. IPO, and disputes an earlier report that its listing had been put on hold. The company also completed a separate review of its anti-money-laundering and counter-terrorist-financing controls, both conducted by unnamed Big Four firms.
RedotPay did not provide a listing date. A person familiar with the company said it is targeting a valuation above $5 billion, while the company said transaction volume reached a record in the second quarter and its operating margin exceeded 50%. No underlying financial figures were provided for those claims.
Why it matters
Audited financial statements are required in a U.S. IPO prospectus, making the audit a concrete step in RedotPay’s preparations. The separate compliance review addresses controls relevant to a payments business handling stablecoins, though the company has not disclosed the firms involved or detailed the findings.
RedotPay says the IPO has not been deferred and that it is working with partners on the process. That contradicts an August report that legal and regulatory issues had pushed a possible listing to 2027 or later.
Market impact
RedotPay lets users hold stablecoins in an app, spend through a linked Visa card and send money across borders. The company reported 8.5 million users as of July, giving investors a measure of its reach, but did not publish detailed financial results alongside its IPO update.
Its plans come as other crypto firms have delayed prospective listings amid weaker market conditions. RedotPay’s audit progress signals continued preparation, but the company has not set a date, and the reported valuation target comes from a person familiar with the matter.
Frequently asked questions
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Why does RedotPay’s completed audit matter for a U.S. IPO?
Audited financial statements are required in a U.S. IPO prospectus, so completing the audit is a concrete step in RedotPay’s listing preparations.
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Has RedotPay confirmed when it will go public?
No. RedotPay says its IPO has not been deferred and that it is working with partners, but it has not provided a listing date.
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What valuation is RedotPay reportedly targeting?
A person familiar with the company said RedotPay is targeting a valuation above $5 billion. The company did not provide that figure directly.
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What other reviews did RedotPay complete?
The company says it completed a separate review of its anti-money-laundering and counter-terrorist-financing controls. The reviews were conducted by unnamed Big Four firms.
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How does RedotPay’s business use stablecoins?
RedotPay lets users hold stablecoins in an app, spend them through a linked Visa card and send money across borders. It reported 8.5 million users as of July.
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