ChainCatcher news reports that as investors scramble to buy up this week's hot cryptocurrency company IPO, executives at stablecoin issuer Circle (CRCL.N) have begun to urgently cash in on the staggering gains since the company's listing. Circle announced on Tuesday that it would sell 10 million shares at the current market price (of which 2 million shares are from the company and the rest from shareholders including CEO Jeremy Allaire), cashing out approximately $1.4 billion.
According to informed sources, the two-day placement has been oversubscribed, with pricing expected to be completed on Thursday local time. The company's stock price, which went public in early June, has skyrocketed 349% so far, and it delivered impressive quarterly results earlier this week. This stock sale comes much earlier than anticipated—just two months after Circle's IPO, well before the end of the lock-up period. However, JPMorgan, as the lead underwriter and the entity responsible for lock-up waiver decisions, did not prevent this sell-off. Joseph Schuster, founder of Chicago-based IPO research firm IPOX, stated, 'This is a reasonable arbitrage play, transferring the risk to the public market.'
