Boston-based fintech company Circle Internet Financial, creator of the USDC stablecoin, has confidentially filed a proposed S-1 registration statement with the US Securities and Exchange Commission (SEC) ahead of its planned IPO in early 2024.
This follows the failure of a proposed merger with a special purpose acquisition company (SPAC) in December 2022, aimed at valuing Circle at $9 billion.
USDC, a digital currency pegged to the US dollar, offers stability compared to more volatile cryptocurrencies. Used as a means of payment, transfer and storage of value in the cryptocurrency space, the USDC also acts as a bridge between fiat currencies and digital assets.
According to CoinMarketCap, USDC is the second-largest stablecoin on the market, with a market capitalisation in excess of $25 billion, just behind Tether's USDT.
Circle has not yet disclosed the number of shares or the price range of its public offering, as these matters are still under review by the SEC.
Founded in 2013 by Jeremy Allaire and Sean Neville, the company's investors include major players in the financial and technology sectors, including Goldman Sachs, Baidu, IDG Capital and Bitmain.
In addition to creating stablecoins, Circle offers payment, treasury and platform services for businesses and institutions integrating its digital assets into their operations.
Circle's IPO could mark a significant turning point for the cryptocurrency sector as it seeks to increase its legitimacy and recognition among the general public and regulators.
Circle could become the first stablecoin issuer listed on a US stock exchange, following the successful IPOs of Coinbase, the largest cryptocurrency exchange in the US, and Robinhood, the trading app popular with young investors.
A blow for Tether, the direct competitor responsible for the stability of USDT, the very first stable cryptocurrency in the ecosystem.
