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RedotPay Delays U.S. IPO Amid Legal Pressure

The delay is tied to a lawsuit from Binance in Hong Kong and Singapore, while RedotPay just received a U.S. money transmitter license.

By Mike Hesp
• 2 min read
RedotPay Delays U.S. IPO Amid Legal Pressure

Key Takeaways

  • RedotPay is delaying its $1 billion U.S. IPO, possibly until after 2027, because of legal issues involving Binance.
  • Binance is seeking $470 million in Hong Kong and has also filed a parallel case in Singapore against RedotPay.
  • RedotPay says it will keep focusing on global compliance, while the company received a money transmitter license in the U.S.

Stablecoin payments company RedotPay has delayed its planned U.S. IPO of $1 billion (€0.9 billion) because of legal issues, Bloomberg reports based on people familiar with the matter. The listing, which was originally scheduled for this year, now does not seem likely to get off the ground before 2027.

Legal Pressure Around Binance

The delay is tied to an ongoing lawsuit from Binance in Hong Kong. The crypto exchange is seeking $470 million (€407 million) and says RedotPay removed about 470,000 users while both sides had an agreement in place. According to Binance, under that agreement customers were allowed to use Binance Pay balances on RedotPay to convert crypto into fiat.

Binance has also filed a parallel case in Singapore. For RedotPay, that means the path to the stock market depends not only on market conditions, but also on the outcome of multiple legal proceedings in Asia.

Compliance First, IPO Later

A RedotPay spokesperson told CoinDesk that the strategy still centers on global regulatory compliance and company growth. This week, the company received a money transmitter license in the U.S. and is preparing to launch its product there. The spokesperson declined to comment on the IPO plans.

RedotPay, which describes itself as the world’s largest issuer of stablecoin payment cards, was first linked to a possible public listing in February. The Hong Kong-based company reportedly hired JPMorgan, Goldman Sachs, and Jeffries for the move.

Growth Remains Strong

At the same time, RedotPay says its operating numbers remain solid. The company says it reached a record 8.5 million users in the second quarter and posted a record $180 million (€156 million) in annualized revenue. In the first quarter, it reported nearly $12 billion (€10.4 billion) in annualized revenue and 8 million users.

The timing matters for European crypto followers because stablecoin payment services are increasingly running into a mix of licensing requirements, compliance, and legal risks. RedotPay gained unicorn status in September 2025 after a $47 million (€40.7 million) strategic investment, with participation from Coinbase Ventures, Galaxy Ventures, and Vertex Ventures, among others, and raised another $107 million (€92.8 million) in a Series B round in December. That shows how quickly capital can flow in, while an IPO can still be delayed by regulators and lawsuits.

The case fits into a broader trend in which stablecoin companies are increasingly being asked to show that their reserves and processes are in order. Tether recently received its first full audit from KPMG, a move that further highlights the pressure on major issuers.

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