Linqto Bankruptcy and the Pre-IPO Market Landscape
The recent Chapter 11 bankruptcy filing of Linqto, a private investment marketplace holding 4.7 million secondary shares of Ripple, has raised questions about potential ripple effects in pre-initial public offering (IPO) markets. EquityZen, a leading secondary trading platform, maintains that this development won’t affect the broader pre-IPO ecosystem.
Understanding Pre-IPO Markets
While traditional IPOs involve public share offerings, pre-IPO markets facilitate trading in unlisted company shares. Data shows investor interest in these markets rebounded sharply in June 2025, reaching levels not seen since March 2023.
Crypto Sector Shows Resilience
Despite market volatility, cryptocurrency maintained strong appeal among private investors. EquityZen reports the sector ranked as the sixth most popular investment category in Q2 2025, benefiting from regulatory progress and growing mainstream adoption.
Ripple’s Pre-IPO Position
Ripple secured a spot among EquityZen’s top 10 pre-IPO companies in Q2 2025, alongside industry leaders like SpaceX and Perplexity. Other crypto firms including Tether and Gemini also demonstrated significant growth during this period.
Market Outlook
As companies like Gemini pursue public listings, the pre-IPO market continues evolving. This space remains crucial for investors seeking exposure to promising companies before they go public.
