Crypto Market Rattled as CoreWeave Allegedly Drops Valuation to $23B

CoreWeave Slashes IPO Size and Valuation Just Before Market Debut

CoreWeave, a key player in AI infrastructure, has made a last-minute revision to its IPO plans, significantly reducing its expected valuation and the amount it aims to raise, according to Semafor.

Originally projected to raise $3 billion with a $30 billion valuation, the company has now scaled back its expectations, targeting a $23 billion valuation while seeking only $1.5 billion in funding, Bloomberg reported.

The firm maintains close ties with bitcoin mining giant Core Scientific (CORZ), which was positioned to gain from a successful IPO and sustained revenue growth. While CORZ saw minor gains in early U.S. trading, its stock remains down sharply over the past month and year. Meanwhile, AI-linked cryptocurrencies such as NEAR, ICP, and RENDER continued their downward trend.

Despite posting $1.9 billion in revenue in 2024 amid soaring AI demand, analysts suggest that CoreWeave’s recent $12 billion partnership with AI powerhouse OpenAI may have a more profound impact on its future than the IPO itself.

The tech sector has underperformed relative to other markets this year, weighed down by fluctuating tariffs from U.S. President Donald Trump and increasing concerns over AI-related expenditures.

CoreWeave is set to launch on the Nasdaq this Friday, becoming the first AI company to go public. A representative from the company was unavailable for comment at the time of publication.

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