Circle Internet IPO: Crypto World’s New Superstar, Huge Jump of 235% in IPO, Valuation More than $18 Billion
The world of crypto and fintech witnessed a big stir on Thursday on the New York Stock Exchange, when Circle Internet launched its Initial Public Offering (IPO). The company’s shares surged by 235% on the first day of the IPO, which is being considered the biggest debut of 2025 so far. Circle Internet, the issuer of digital assets like stablecoin USDC, raised $1.05 billion from its IPO, and the company’s fully diluted valuation has reached almost $22.5 billion.
Details of the IPO: Jump from $31 to $103
Circle Internet launched its IPO at $31 per share, which was much higher than its marketed price range of $27-$28. The company’s shares opened at $69 per share on the New York Stock Exchange (NYSE) and soon rose to $103.75. This tremendous demand forced the stock to be halted several times due to volatility.
A total of 34 million shares were offered in the IPO, of which 14.8 million shares were sold by Circle itself and 19.2 million shares by existing investors. The IPO was initially for 24 million shares, which was increased to 32 million and then to 34 million shares in the final.
Strong Demand in the Market
According to sources, there was 25x more demand for the IPO shares than there was supply. The IPO was led by JPMorgan Chase & Co., Citigroup Inc., and Goldman Sachs Group Inc. Circle raised its target on Monday ahead of the IPO, while final orders were closed on Tuesday.
NYSE Group president Lynn Martin called the listing a “blowout deal” and said the IPO would bring new life to the sluggish IPO market.
Circle’s Background: World Champion of Stablecoins since 2013
Circle Internet is headquartered in New York and was co-founded in 2013 by Jeremy Allaire and Sean Neville. Jeremy Allaire, who previously co-founded Brightcove and was CEO, serves as Circle’s CEO.
Circle’s most popular product is USDC (USD Coin), a dollar-denominated stablecoin and the world’s second-largest stablecoin by market cap, followed by Tether (USDT). Circle recently launched EURC (Euro Coin), a euro-denominated stablecoin.
USDC Market Share and Reserve Details
According to the company’s filings, USDC had a 29% share in the stablecoin market by the end of March. According to Circle’s website, $61 billion worth of USDC tokens are currently in circulation in the market (as of May 29). This token is supported by a fully backed reserve.
Another big thing here is that the balance of Circle’s Circle Reserve Fund is $53.3 billion, of which 90% of the reserves are kept in the government money market fund managed by BlackRock.
Trust of Big Investors: Names like ARK and BlackRock included
The trust of many big institutional investors was also seen in this IPO. Cathie Wood’s ARK Investment Management had shown interest in investing up to $150 million in Circle shares. On the other hand, BlackRock also manages Circle’s reserves, which shows the financial strength behind its stablecoin.
New Enthusiasm for Crypto Sector
Circle’s IPO is not just a listing, but a big positive signal for the crypto industry. This is the biggest crypto listing after Coinbase, and the first major IPO of a stablecoin issuer. Earlier in 2022, Circle tried to go public through a $9 billion SPAC deal, which failed. But now the company has written a big comeback story through a traditional IPO.
The Way Ahead
After the IPO, Circle’s shares are trading on the NYSE under the ticker symbol CRCL. Market analysts say that the success of this IPO can start the return of new investments and IPOs in the crypto and fintech sectors. At the same time, it is also being seen how Circle won the trust of investors amidst regulatory concerns and market volatility.
Conclusion
Circle Internet’s IPO was not only a big winning moment for its investors, but is also a confidence booster for the entire crypto industry. There was a time when stablecoins were stuck in regulatory uncertainty, but today’s public debut of Circle shows that the blockchain and digital finance industry is moving towards becoming mainstream.
Circle’s share price will have to be monitored for the next few months, but for now it is clear that “Circle has made a perfect circle of success in the IPO market”.