Circle files for IPO
Circle Internet Financial, the issuer of the USD Coin (CRYPTO:USDC) stablecoin, has filed an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) to go public on the New York Stock Exchange (NYSE) under the ticker symbol "CRCL."
The filing marks Circle's second attempt to list publicly, following a failed SPAC merger in 2022 that incurred over $44 million in costs.
Circle reported $1.67 billion in revenue for 2024, a 16% increase from the previous year, with net income of $155.6 million.
However, this represents a 41.8% decline from 2023's net income of $271.5 million.
The company's revenue is heavily reliant on its stablecoin reserves, with over 99% derived from these assets.
The IPO filing does not specify the number of shares to be offered or the target price range.
Circle aims to list in late April, with JPMorgan Chase and Citi serving as lead underwriters.
The company is seeking a valuation between $4 billion and $5 billion.
Circle's decision to go public comes as the crypto industry gains more acceptance in the U.S., partly due to regulatory clarity and growing institutional interest.
The company's USDC stablecoin is the second-largest by market capitalisation, with approximately $60 billion in circulation.
The IPO will provide Circle with increased transparency and credibility, potentially enhancing its position in the stablecoin market.
However, the filing highlights risks associated with regulatory changes and market volatility, which could impact investor confidence.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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