Crypto giant Circle wants to go public in the United States

Amid the euphoria surrounding spot bitcoin ETFs, the company issuing the second-largest stablecoin on the market dreams about the future of the stock market.

While the US Securities and Exchange Commission, the SEC, allowed the listing on Wall Street of 11 spot bitcoin ETFs, some major crypto players now have a bigger appetite for the stock market. This is the case with Circle, which issues one of the largest stablecoins on the market, USDC. Indeed, it is the second largest in the world in terms of market capitalization, currently at $25 billion in capitalization. As a reminder, A stable coin (or stable cryptocurrency) is a digital asset that is pegged to a fiat currency such as the euro or dollar. Stablecoins can also be backed by other assets (such as gold).

Two years ago, Circle launched its first IPO project (initial public offering) through a SPAC (a kind of empty shell already listed), before canceling it due to market conditions. Circle’s valuation was close to $9 billion. This week, the group filed again with the SEC.

The fortunes of stock markets

The group undoubtedly intends to navigate the current call between traditional finance and the cryptocurrency world. As we can see, all listed players in this sector have seen very positive fortunes on the stock market, especially at the end of last year, such as Nasdaq-listed crypto giant Coinbase. Circle’s initiative also reflects an interest in popularizing the use of stablecoins, supporting their growing role in traditional finance, which now finds advantages and sources of profit in tokenization and digital assets.

In addition, Circle has always strived to adhere to transparency regulations and procedures as closely as possible. So it would be another bridge, stable and well defined, between two worlds. They will need courage now, as the cards for using cryptocurrencies threaten to be shuffled with the adoption and mainstreaming of spot bitcoin ETFs in the coming months. This risks stalling stock market enthusiasm around historic players.

Because of this, we have seen a significant correction in recent days for giants like Coinbase and some Bitcoin mining companies.

Antoine Larigaudrie edited PA

Leave a Comment