Circle remains committed to IPO optimistic about the US Stablecoin Act
Circle CEO, a major US compliance stablecoin issuer, expressed in an exclusive interview with Bloomberg that the company’s longstanding ambition to go public remains intact, and it continues to pursue a stock market listing without the need to raise funds through private markets.
Circle Moves Towards IPO Without Private Funding
In Q4 2021, Circle aimed to go public through a merger with the special purpose acquisition company Concord Acquisition Corp, but ultimately announced the termination of this plan at the end of 2022. Following this, the company faced the harsh winter of the cryptocurrency market and the Silicon Valley Bank crisis, which caused the market capitalization of USDC to plummet from a high of $56 billion to a low of $24 billion. However, as the applications of stablecoins become increasingly diverse and countries begin to call for the importance of regulation, Circle appears poised to capitalize on the recovery of the crypto market. Earlier this year, the company quietly filed for a US IPO, hoping to become the first compliant and publicly listed stablecoin issuer in the United States. Recently, Circle announced the relocation of its global headquarters to New York City and plans to create a flagship office space on the upper floors of One World Trade Center, seemingly preparing for its US IPO.
However, it has been over nine months since the second application was submitted, and there have been no specific updates. CEO Jeremy Allaire declined to comment on interactions with the SEC or other regulatory bodies. Allaire stated that although the process of waiting for IPO approval is long, the company does not need to raise additional funds. “Our financial situation is strong, and we are able to build a very solid business. Currently, we are not seeking any funding.”
Optimistic About Stablecoin Legislation
Regarding the significant impact of the stablecoin legislation on Circle, Allaire mentioned that Congress is considering several draft versions of crypto-related bills. He is optimistic that stablecoin legislation may pass after the November elections and believes that new regulatory frameworks will facilitate greater entry for more traditional financial participants, such as banks, asset management firms, and payment companies, into the digital asset ecosystem. “They will only cooperate with regulated infrastructure, and we are already prepared to achieve this goal.”
