Stablecoin payments company RedotPay has postponed its planned $1 billion U.S. IPO to address ongoing legal issues, with the listing now unlikely to occur before 2027, according to Bloomberg reports citing people familiar with the decision. The Hong Kong-based company, which recently obtained a U.S. money transmitter license and is preparing a U.S. product launch, declined to comment on its IPO plans when approached by crypto.news. A RedotPay spokesperson stated that "Our strategy continues to focus on global regulatory compliance and business growth," adding that "This week we obtained a money transmitter license in the U.S. We are preparing to launch our product in the U.S." The IPO, which emerged in February, was reportedly being handled by major investment banks including JPMorgan, Goldman Sachs and Jeffries.
Despite the IPO delays, RedotPay reported record users, revenue, profit and margins in its Q2 2026 investor update, according to the company's latest statement. The Hong Kong stablecoin payments company, which provides stablecoin-based payment services including crypto payment cards, multicurrency wallets and global payouts, has demonstrated strong growth momentum. Founded in Hong Kong in April 2023, the company had more than 6 million users across over 100 markets and was processing billions of dollars in annualized payment volume by February 2026. The firm had also raised $194 million during 2025, with a $107 million Series B financing led by Goodwater Capital, Pantera Capital and Blockchain Capital among its backers. RedotPay now serves more than 8 million users across over 100 countries and has achieved $12 billion in annualized payment volume.
Alongside the regulatory work needed for its U.S. expansion, RedotPay is facing significant legal pressure from Binance affiliates in Hong Kong. The Binance-linked plaintiffs are seeking nearly $473 million in damages from RedotPay's founders, alleging they used confidential information obtained during previous employment with Binance to establish a competing payments company and move hundreds of thousands of Binance customers to the new platform. According to the claims, the confidential material was allegedly used to help RedotPay build its payments business and attract users who previously used Binance. RedotPay has rejected these allegations and stated it would "vigorously defend all claims." The dispute also extends to Singapore, where conflicting accounts have emerged regarding related proceedings. RedotPay recently claimed it expects Binance to drop the case, while Binance maintains that their claims will stay active.
While its IPO timetable has been pushed back, RedotPay's newly obtained money transmitter license provides another regulatory approval as it prepares to offer services in the U.S. The company has already been expanding its stablecoin payment services into other markets, including Brazil where it launched payments in June 2025 using Circle Payments Network. The service allowed users to send crypto directly to Brazilian bank accounts, with assets automatically converted to Brazilian reais. RedotPay has not disclosed a launch date for its U.S. product, with the spokesperson stating that preparations are underway following the money transmitter license approval while the company continues focusing on regulatory compliance and business growth. The company also holds a Virtual Asset Service Provider (VASP) license in Argentina and has Money Services Business registrations in the U.S and Canada.
