The Year of Crypto Financing Boom: After 265 Mergers and Acquisitions and a $23.2 billion IPO in 2025, can the momentum continue in 2026?

The crypto industry’s financing market in 2025 experienced an explosive growth. A total of 265 mergers and acquisitions were completed throughout the year, with a transaction volume of $8.6 billion, and IPO fundraising reached $14.6 billion, both hitting record highs. This is driven by improved regulatory environments and the return of institutional capital. As we enter 2026, the industry generally expects this wave of financing to continue, but the focus will shift toward more compliant and foundational tracks.

How Big Were the M&A and IPO Activities in 2025

According to data from The Block, crypto sector M&A and IPO activities saw significant growth in 2025:

What does this number mean? The crypto industry’s financing activities have fully recovered from the downturn in 2024. On average, five M&A deals are completed each week, and IPO fundraising scales are creating a healthy cycle with the overall market capitalization growth of the crypto industry.

The True Drivers of Growth

This wave of financing isn’t happening out of thin air; there are two core factors:

Clarification of Regulatory Environment

In 2025, major global economies shifted their stance on crypto assets. Regulatory frameworks in the US, Europe, and other regions gradually improved, providing clear compliance pathways for companies and investors. This directly reduced legal risks and transaction costs, encouraging more institutions to participate in M&A.

Return of Institutional Capital

Traditional financial institutions, PE/VC funds reignited their interest in the crypto track. This isn’t short-term speculation but strategic deployment. The influx of institutional capital means larger financing scales, more stable transaction cycles, and more professional post-investment management.

Where Will the Financing Hotspots Be in 2026

Market expectations suggest that M&A and IPO activities will continue to heat up in 2026, but the transaction focus will shift significantly:

Priority Tracks

• Compliance Licenses and Infrastructure: Upgrading traditional financial infrastructure such as exchanges, custody, and clearing to crypto-enabled systems
• Payment Infrastructure: Stablecoins, cross-chain payments, enterprise-level settlement tools
• Stablecoin Ecosystem: As stablecoins become the lifeblood of the crypto economy, related projects will attract substantial M&A activity
• Enterprise Tools: SaaS tools for institutions and enterprises focusing on compliance, risk control, tax reporting, etc.

Diversification of Financing Paths

Besides traditional IPOs, investors are optimistic about alternative routes like SPACs (Special Purpose Acquisition Companies) and RTOs (Reverse Takeovers). These methods can enable smaller but promising crypto companies to access faster financing and listing opportunities.

Summary

The 265 M&A deals and $14.6 billion IPO fundraising in 2025 mark the industry’s entry into a mature phase. The crypto financing market is no longer a speculative bubble of rapid rises and falls but a financing ecosystem with real industry foundations, deep institutional participation, and clear regulatory frameworks. This trend will continue into 2026, but the focus of financing will shift from hype to practical, compliant infrastructure and tooling projects. For entrepreneurs, this is good news—fundraising will be easier, but project quality requirements will also be higher.