๐จ #CircleIPO ๐จ
๐๐ป Circle Internet Financial, the issuer of the USDC stablecoin, launched its initial public offering (IPO) on June 5, 2025, targeting a valuation of up to $7.2 billion.
๐๐ป The company offered 34 million Class A shares at $31 each, aiming to raise approximately $1.05 billion. Listed on the New York Stock Exchange under the ticker "CRCL," Circle's IPO reflects growing investor confidence in cryptocurrencies, bolstered by a pro-crypto stance from the U.S. administration and advancing stablecoin legislation.
๐ช $USDC ๐ช
๐๐ป USDC, with a market cap exceeding $60 billion, is the second-largest stablecoin after Tether, facilitating over $28 trillion in on-chain transactions since 2018.
๐๐ป Circle's revenue, primarily from interest on reserve assets and transaction fees, reached $1.68 billion in 2024, though net income fell to $156 million from $268 million in 2023. The IPO, underwritten by J.P. Morgan, Citigroup, and Goldman Sachs, saw strong demand, with BlackRock acquiring about 10% of shares and ARK Investment Management eyeing $150 million worth.
๐๐ป Despite a prior failed SPAC attempt in 2021, Circleโs move capitalizes on a rebounding crypto market and regulatory clarity. Proceeds may fund global expansion, compliance, and new tokenized products. However, competition from Tether, PayPal, and Ripple, alongside regulatory and cybersecurity risks, poses challenges.
๐๐ป Circleโs 50% revenue-sharing agreement with Coinbase underscores its strategic partnerships, positioning it as a key player in the evolving digital finance landscape.
