Circle Internet Financial, the issuer of the world’s second-largest stablecoin, USDC, has taken a decisive step toward going public, filing confidential paperwork for an initial public offering (IPO) with the U.S. Securities and Exchange Commission (SEC) as of March 31, 2025. The Boston-based company, a key player in the $2 trillion cryptocurrency market, expects to submit its public filing by late April, aiming for a valuation between $4 billion and $5 billion, according to sources familiar with the matter. With USDC’s market cap steady at $60 billion, Circle’s move signals a maturing crypto sector amid shifting regulatory and economic winds.
The IPO filing, first reported by Fortune on March 31, follows Circle’s hiring of investment banks JPMorgan and Citi to lead the offering, a process confirmed by posts on X and industry insiders. This marks the company’s third attempt at a public listing, after a scrapped $9 billion SPAC deal with Concord Acquisition Corp in December 2022 and a stalled effort in January 2024. “Circle’s persistence reflects confidence in stablecoin demand and regulatory clarity,” a banking source told Reuters, speaking anonymously due to the confidential nature of the filing. The company declined to comment beyond a brief statement: “We’re focused on building a sustainable future for digital finance.”
Circle’s journey to this point has been turbulent. Founded in 2013 by Jeremy Allaire and Sean Neville, it rose to prominence with USDC, a dollar-pegged stablecoin launched in 2018 with Coinbase via the Centre Consortium. By March 2025, USDC’s $60 billion market cap trails only Tether’s $139 billion, bolstered by $16.5 billion in new mints over the past three months—outpacing USDT’s $4.7 billion—per CoinGecko data. The 2023 collapse of Silicon Valley Bank (SVB), where Circle held $3.3 billion of its reserves, tested its stability, but a Coinbase-led $3 billion backstop and swift FDIC intervention averted a crisis. “That scare proved USDC’s resilience,” Allaire told Bloomberg in 2024, noting subsequent reserve audits showing $62 billion in cash and treasuries.
Circle’s IPO targets a $4-5 billion valuation, a step down from the $9 billion SPAC peak but above rumored $2-3 billion secondary sales in mid-2024, per X chatter. The filing follows a January 2024 confidential submission, delayed by SEC reviews and market volatility. JPMorgan and Citi’s involvement—reported by Crypto_Inside_ on X—signals institutional heft, with a late April public filing eyed for a Q3 listing, pending approval. “A $5 billion valuation is conservative given USDC’s growth,” an analyst told Fortune, noting Circle’s 2024 revenue of $450 million, up 50% from 2023, though profitability remains elusive amid $200 million in annual operating costs.
The company’s pitch centers on USDC’s compliance edge. Unlike Tether, delisted in Europe under MiCA rules by March 31, Circle secured a French EMI license in 2024, ensuring USDC’s MiCA compliance with audited 1:1 reserves. This contrasts with Tether’s $126 million in frozen assets and ongoing opacity concerns post its 2021 $18.5 million New York fine. Circle’s $1 billion cash cushion and BitGo custodianship bolster trust, with Allaire emphasizing, “Regulation is our moat.” The Intercontinental Exchange’s (ICE) March 27 USDC integration and Fidelity’s stablecoin testing underscore institutional adoption, with stablecoins now at a $234 billion market cap.
Challenges remain. The SVB scare exposed reserve risks, and Circle’s $5 million lobbying push in 2024 aims to shape U.S. crypto rules amid Trump’s tariff-driven uncertainty. South Korea’s ban on 17 exchanges this week, targeting $19.3 billion in illicit flows, tightens global oversight, while Binance’s USDT halt in Europe shifts liquidity to USDC. A potential $4-5 billion valuation hinges on market stability—Q1’s Nasdaq 2.7% drop on March 28 tests appetite, as does the Fed’s no-cut stance despite a 0.4% PCE rise.
Circle’s IPO arrives as crypto matures. Bitcoin miners hold 1.9 million BTC, and ETFs see $35 billion in 2024 inflows, per Bernstein, yet stablecoins bridge TradFi and DeFi. Gate.io’s Red Bull F1 deal and Uniswap’s $1.8 billion daily volume highlight mainstream inroads, but Circle’s regulated path sets it apart. Whether it achieves its $5 billion target—or scales higher—depends on executing amid a volatile Q2. For now, this filing marks a pivotal moment for stablecoins in a market seeking solidity.e and a $92 billion DeFi TVL, Uniswap’s future hinges on Ethereum’s rebound.
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