Stablecoin Issuer Circle Prices IPO at $31 Per Share, Raising $1.1 Billion in Oversubscribed Offering

Circle Internet Group, the issuer of the world’s second-largest stablecoin, USD Coin (USDC), successfully priced its initial public offering (IPO) at $31 per share, raising approximately $1.1 billion. The offering, which was upsized from an earlier target of $896 million, reflects strong investor appetite, with market reports indicating the IPO was oversubscribed by more than 25 times. Listed on the New York Stock Exchange under the ticker “CRCL,” Circle’s debut values the company at approximately $6.9 billion, with a fully diluted valuation of $8.1 billion.

A Robust Public Debut

Circle’s IPO involved the sale of 34 million shares of Class A common stock, exceeding the previously marketed range of $27 to $28 per share and an earlier plan to sell 32 million shares. Just two days prior, the company had aimed for a $7.2 billion valuation, a significant increase from its initial $5.4 billion target announced in May. Based on the outstanding shares listed in its early regulatory filings, Circle’s latest IPO pricing results in a valuation of $6.9 billion, with a fully diluted valuation of $8.1 billion.

The upsized offering and higher share price reflect strong demand from institutional investors, with major firms like BlackRock and Cathie Wood’s ARK Investment expressing significant interest. BlackRock, an existing Circle backer, reportedly planned to acquire 10% of the IPO shares, while ARK indicated interest in purchasing $150 million worth of stock. According to Bloomberg, the IPO was oversubscribed by more than 25 times, reflecting strong investor confidence in Circle’s business model and the broader stablecoin market.

Circle’s Role in the Stablecoin Ecosystem

Circle is best known for issuing USDC, a dollar-pegged stablecoin with a market capitalization of $61.5 billion as of press time, making it the second-largest stablecoin behind Tether’s USDT ($153.7 billion). USDC is backed by dollar-denominated assets, including a significant allocation of yield-bearing U.S. Treasury bonds, which contributed to Circle’s 2024 revenue of $1.68 billion, though net income fell to $156 million from $268 million the previous year. The company’s financial performance is bolstered by its strategic investments, such as its January acquisition of Hashnote, issuer of the largest Tokenized Money Market Fund USYC, for $100 million, primarily in shares. In addition, Circle’s returns on U.S. Treasury investments surged by 55.1% in the first quarter of 2025, reaching $557.9 million.

Circle’s IPO comes after a failed attempt to go public via a special purpose acquisition company (SPAC) in 2022, which would have valued the firm at $9 billion. The decision to pursue a traditional IPO reflects Circle’s confidence in its growth trajectory and the increasing regulatory clarity surrounding stablecoins. For instance, recent U.S. legislation, such as the proposed GENIUS Act, mandates that stablecoins be fully backed by liquid assets and requires annual audits for issuers with over $50 billion in market cap, aligning with Circle’s operational model.

Market Context and Stablecoin Growth

The stablecoin sector has seen significant growth, with the total market capitalization surpassing $249 billion in 2025, driven by regulatory advancements and increased adoption in decentralized finance (DeFi). According to DefiLlama, DeFi’s total value locked exceeds $112.52 billion, with stablecoins playing a critical role in facilitating transactions, cross-chain trading, and staking.

Circle’s public listing also comes amid heightened competition in the stablecoin space. Emerging players, such as the Trump-aligned USD1 and bank-issued tokens, are vying for market share, while established rivals like Tether continue to dominate. However, Circle’s focus on regulatory compliance and institutional partnerships, including with BlackRock and Coinbase, positions it favorably. Notably, Circle previously denied rumors of acquisition bids from Coinbase and Ripple at a $5 billion valuation, signaling its commitment to an independent public offering. In hindsight, Circle made a strategic decision, as its IPO valuation significantly exceeds the rumored acquisition price amid bullish sentiment for stablecoins.

Implications for the Crypto Market

Circle’s successful IPO is a landmark event for the crypto industry, demonstrating that stablecoin issuers can achieve significant valuations in public markets. The oversubscription suggests that traditional investors see stablecoins as a stable entry point into the crypto space, particularly as regulatory frameworks solidify.

As Circle begins trading on the NYSE, its performance will likely be closely watched as a bellwether for other crypto firms eyeing public listings, such as Blockchain.com and Bithumb. The IPO’s success could pave the way for further institutional adoption, potentially driving more liquidity and innovation in the stablecoin and DeFi sectors.