The company's S-1 registration statement, submitted to the U.S. Securities and Exchange Commission , outlines plans to offer shares of its Class A common stock. While the exact number of shares and the anticipated price range remain unspecified, the filing indicates that proceeds from the shares sold by Circle will benefit the company directly, whereas shares sold by existing shareholders will not contribute to Circle's capital. Leading the underwriting process are financial giants J.P. Morgan and Citigroup, with additional participation from Barclays, Deutsche Bank Securities, and SG Americas Securities, LLC.
Financial disclosures reveal that Circle reported a net income of $156 million on revenue of $1.68 billion for the year ending December 31, 2024. This marks a decrease from the previous year's net income of $268 million, despite an increase in revenue from $1.45 billion. The revenue growth is primarily attributed to interest income generated from the reserves backing USDC, while the decline in net income reflects rising operating costs and significant expenditures on fees and transaction costs to partners like Coinbase.
This IPO attempt follows a previously terminated $9 billion merger with a special-purpose acquisition company in 2022. The current filing underscores Circle's commitment to transparency and accountability, aiming to leverage a favorable regulatory environment under President Donald Trump, who has expressed intentions to position the U.S. as a leading hub for cryptocurrency.
USDC, the stablecoin issued by Circle, is currently the second-largest stablecoin and the seventh-largest cryptocurrency token overall. The company holds approximately $60 billion in tokens, positioning it behind market leader Tether. Circle's largest investors include private equity groups and firms such as JPMorgan Chase and Citigroup.
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Cryptocurrency