Circle remains committed to IPO, optimistic about the US Stablecoin Act.

The CEO of the U.S. regulatory stablecoin issuer Circle stated in an interview with Bloomberg that despite the delay, the company's long-standing ambitions for an IPO remain, and they do not need to raise funds through private markets while continuing to pursue a public stock market listing.

Circle Moves Towards IPO without Private Funding

Circle had plans for an initial public offering (IPO) in 2021 Q4 through a merger with special purpose acquisition company Concord Acquisition Corp, but ultimately called it off by the end of 2022. Following a crypto winter and Silicon Valley banking crisis, the market value of USDC plummeted from a peak of $56 billion to as low as $24 billion.

However, with the increasing diversity in stablecoin applications and the growing importance of regulatory oversight globally, Circle seems to be seizing the opportunity for a market rebound. At the beginning of the year, they quietly applied for a U.S. IPO, aiming to become the first compliant and publicly listed stablecoin issuer in the United States. Circle recently announced relocating its global headquarters to New York City and plans to establish a flagship office space on a high floor of One World Trade Center. By setting foot in the economic hub of the U.S., it appears to be preparing for its IPO in the U.S.

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However, over nine months have passed since the second application was submitted, and there seems to be no concrete news. CEO Jeremy Allaire declined to comment on any engagement with the SEC or other regulatory authorities. Allaire stated that although the IPO approval process is lengthy, the company does not need to raise more funds.

Our financial position is strong, and we can build a very solid business, and we are not seeking any funds at this time.

Optimistic Outlook on Stablecoin Legislation

Regarding stablecoin legislation that significantly impacts Circle, Allaire mentioned that Congress is considering several draft versions of bills related to cryptocurrencies. He remains optimistic that stablecoin legislation may be passed after the November elections, and believes that new regulatory guardrails will provide more convenience for traditional financial participants such as banks, asset management companies, and payment companies to enter the digital asset ecosystem.

They will only work with regulated infrastructure, and we are prepared to achieve this goal.