Circle Internet Financial, the company behind the USDC stablecoin, is gearing up for a significant move in the financial markets. According to reports from Fortune, Circle has enlisted major investment banks JPMorgan Chase and Citi to serve as underwriters for its anticipated Initial Public Offering (IPO).
Anticipated Timeline for IPO Filing
While the exact details are still unfolding, insiders suggest that Circle plans to file its prospectus with the U.S. Securities and Exchange Commission (SEC) by late April. This timeline could position the company for a potential IPO launch sometime before June.
Previous Attempts and Challenges
Circle’s journey towards going public has not been straightforward. In January 2024, the company submitted confidential paperwork to the SEC as it prepared for its IPO. Prior to this, Circle made an attempt to go public through a Special Purpose Acquisition Company (SPAC) merger in 2021. However, this effort faced significant hurdles, including regulatory challenges from the SEC and the broader downturn in the cryptocurrency market that followed in 2022. Ultimately, Circle decided to withdraw from the SPAC deal by the end of 2022.
Valuation and Market Position
According to sources close to the situation, Circle is currently aiming for a valuation between $4 billion and $5 billion for its IPO. CoinDesk previously reported in July that the company’s estimated value in private secondary markets hovered around the $5 billion mark. This projected valuation highlights Circle’s strong position in the blockchain and cryptocurrency space, particularly as it continues to expand its influence through innovations like the USDC stablecoin.
In summary, Circle’s strategic hiring of JPMorgan and Citi, coupled with its plans for an IPO, marks a significant development in the world of cryptocurrency and finance. As the company prepares to navigate the complex regulatory landscape, all eyes will be on Circle to see how it capitalizes on its upcoming public offering.
