USDC stablecoin issuer Circle has filed for a United States initial public offering. This confidential move aligns with its plans to become a publicly-traded entity. The issuer however did not reveal the quantity of shares or the price in its IPO filing.
Despite a timed-out deal to go public through “a special-purpose acquisition company” in 2022, Circle, however, is still pushing. Following the new filing, Circle’s IPO would go live pending the Securities and Exchange Commission review.
In November 2023, the IPO plan was hinted to the public by people familiar with the matter. While the firm has now filed for an IPO, a Circle representative said it was a rumor. “Becoming a U.S.-listed public company has long been part of Circle’s strategic aspirations. We don’t comment on rumors,” the representative said in a statement
Becoming a publicly traded company is a milestone for companies that started privately; it increases responsibility, volume, and liquidity. Also, public offerings confer strict adherence to regulations.
According to CoinGecko data, Circle’s USDC is currently the second-largest stablecoin, following Tether’s USD, and ranks seventh in terms of overall cryptocurrency market capitalization. USDC is backed by fiat currency, specifically the USD, as well as other cash equivalents like short-term Treasury bonds.
Circle is not the sole company seeking to go public through an IPO. In December 2023, clearing firm Apex Fintech also confidentially filed for a United States IPO. Additionally, Apollo’s Aspen Insurance is contemplating an IPO in 2024.
Per solidifying its presence in the market, in December 2023, Circle secured the first patent for Parallel Block Processing in Blockchains. The technique allows for the processing of multiple pieces of information simultaneously and maintains the serial validation of blocks as well.
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