DeFi Technologies Gears Up for Nasdaq Listing After Bitcoin Treasury Move

A Canadian crypto stock with a strong performance track record is eyeing a listing on the U.S. stock market, potentially attracting a wave of new investors. DeFi Technologies, the parent company of various crypto-focused subsidiaries including Valour, an exchange traded fund (ETF) operator, is currently trading on Cboe Canada under the DEFI ticker and over OTC markets under DEFTF. The company recently disclosed its intention to seek a listing on the Nasdaq stock market by filing a Form 40-F registration statement with the SEC.

The company’s announcement emphasized that the listing on Nasdaq is subject to approval by the exchange and meeting all relevant listing and regulatory requirements. It was clarified that DeFi Technologies’ shares will continue to be listed on Cboe Canada as well. This move, known as “uplisting,” involves transitioning from alternative, low-liquidity trading markets to a major stock exchange with higher liquidity and visibility.

Despite the challenges associated with uplisting, DeFi Technologies has shown strong performance metrics this year. Its stock has surged by 275% year-to-date, and its quarterly profits have exceeded its operational costs significantly. Notably, the company reported profits of $105 million in the year so far, while its total market capitalization stood at $429 million in July.

Analysts, including Reflexivity Research co-founder Will Clemente, have highlighted the company’s impressive price/earnings ratio, suggesting that DeFi Technologies is undervalued compared to the average S&P 500 company. Following the announcement of its Q2 earnings, the company’s stock price rebounded above $2 per share, outperforming many blockchain stocks during a period of market stagnation. The company’s profitability has been driven by its subsidiaries, particularly Valour and DeFi Alpha, which focus on crypto investment products and low-risk arbitrage trades, respectively.

DeFi Technologies also made headlines for holding Bitcoin on its balance sheet, doubling its BTC holdings in July, and adding Solana and CORE to its treasury. The company’s strategic moves and financial performance have positioned it as a key player in the crypto stock market landscape.

This article was edited by Andrew Hayward.