Crypto Firm Circle Contemplates 2024 IPO, Seeking $9 Billion Valuation
Crypto News – Circle Internet Financial Ltd., the company behind the popular USDC stablecoin, is reportedly considering an initial public offering (IPO) in early 2024, according to sources familiar with the matter.
The company has engaged in discussions with financial advisors, indicating its potential interest in going public. However, a final decision regarding the IPO has not been confirmed as of yet.
While the exact valuation that Circle is seeking for its 2024 IPO has not been disclosed, it’s worth noting that in 2022, the company aimed for a valuation of $9 billion through a blank-check deal. Circle’s representatives have not commented on the current speculations but have reiterated the company’s long-standing goal of going public in the United States.
Financial Valuation and Investor Backing of Circle, the USDC Issuer
Circle has garnered substantial funding from notable investors, including Goldman Sachs Group Inc., General Catalyst Partners, BlackRock Inc., Fidelity Management and Research LLC, and Marshall Wace LLP. In a funding round in 2022, Circle was valued at $7.7 billion, underscoring its strong position within the cryptocurrency market.
Circle is renowned for being the issuer of one of the world’s largest stablecoins, USDC, which facilitates the seamless transfer of digital assets between various exchanges. USDC is pegged to assets like the U.S. dollar. However, earlier in the year, the company faced a setback when it revealed a $3.3 billion exposure to the now-defunct Silicon Valley Bank, resulting in a temporary decoupling of USD Coin from its intended value.
The journey of Circle toward a potential IPO highlights its strategic aspirations for a public listing and underscores the growing significance of stablecoins in the digital asset landscape. With its substantial support from investors and a notable presence in the market, Circle’s path to going public reflects the evolving dynamics of the cryptocurrency sector.