Circle Internet Financial, the Maker of USDC, Is Reviving Its IPO Ambitions and Is Reportedly Preparing to File by Late April

Circle Internet Financial, the company behind the USDC/USD stablecoin, is reviving its public listing ambitions and is reportedly preparing to file for an initial public offering by late April.

Circle Internet Financial, the company behind the USDC/USD stablecoin, is preparing to file for its initial public offering by late April, reports Fortune. The crypto-focused fintech is working with JPMorgan Chase JPM and Citi as advisors.

What Happened: Circle is making a second attempt at a public listing. Its earlier effort in 2021 via a SPAC deal was abandoned due to regulatory delays and broader market turmoil following the collapse of crypto exchange FTX.

In January, Circle confidentially filed with the SEC for a traditional IPO. The upcoming public filing will provide the first official look at Circle’s financials.

Founded in 2013 by Jeremy Allaire and Sean Neville, Circle started as a broader crypto services firm but has since pivoted into a stablecoin-focused financial platform.

Its USDC stablecoin, once operated through a consortium called Centre with Coinbase COIN as its sole remaining partner, has seen a dramatic recovery since early 2023.

Following a brief de-pegging during the Silicon Valley Bank crisis—where $3.3 billion in reserves were temporarily locked—USDC has since recovered to a $60 billion market cap.

However, a large portion of Circle’s revenue is generated from interest income. As of 1H23, 99% of the company’s revenue was reported to be from interest earned on U.S. Treasuries and other assets.

Circle is reportedly seeking a valuation of $4 billion to $5 billion for its IPO, a significant reduction from the $9 billion valuation it obtained during its SPAC attempt.

The Impact: Circle’s public debut would be the biggest crypto IPO since Coinbase’s direct listing in 2021.

Like Coinbase, Circle’s IPO comes amid a broader recovery in the market for new listings. IPO activity in 2024 has surged by 70% compared to the same period last year.

With several key crypto bills being pushed forward in Washington—including H.R. 1230 to create a new regulatory framework for stablecoins—and President Trump signaling a pro-crypto stance, the timing for Circle’s IPO appears ideal.

Despite its strong presence in the stablecoin domain, Circle faces increasing competition from both crypto-native firms and traditional finance players.

Earlier this year, PayPal PYPL announced plans to launch its own stablecoin, joining the likes of Ripple XRP/USD and FTX in expanding the offerings in the rapidly growing market.