According to a Bloomberg report, the IPO is likely to price above the marketed range after the USDC issuer received orders 25 times the amount of shares it was offering in its expanded deal.
Circle raised the price of its initial public offering from between $24 and $26 per share to between $27 and $28 per share, intending to raise $896 million, reaching a valuation of $7.2 billion. The company also increased the number of Class A common shares it was offering from 24 million to 32 million.
The Bloomberg report also revealed that Circle's initial public offering could price its shares on the night of June 4, New York time. The allocation of shares is reportedly focused on investors with a long-term investment strategy. Meanwhile, it is reported that deliberations are ongoing, and the issuer of USDC could price the IPO within the range.
Cathie Wood's Ark Invest has shown its intention to purchase up to $150 million in Class A common shares. BlackRock is also considering buying up to 10% of the IPO shares.
In a post on X, BitMEX founder Arthur Hayes commented on recent events related to Circle's IPO. He said:
"As much as I hate Circle, it's great for all our wallets if TradFi buys what we sell."
The IPO comes at a time when demand for stablecoins is soaring, and the U.S. Congress is also in the process of establishing a regulatory framework for stablecoins through the GENIUS Act. The amendment process for the stablecoin bill has advanced with over 60 proposals, and the Senate could vote on it this week.
Circle's USDC is currently the second-largest stablecoin by market capitalization, only behind Tether's USDT. CoinMarketCap data shows that USDC has a market capitalization of $61.4 billion.
