The First Stablecoin IPO Is Here! Circle Lists on NYSE, Raising $1.1 Billion
Today (June 5, 2025), global stablecoin giant Circle Internet Group officially log in to the New York Stock Exchange, with the stock code CRCL, becoming the world’s first stablecoin issuer to complete an IPO. The company issued 34 million shares at a price of $31 per share, exceeding the previous expected pricing range of $27-28, with a total fundraising amount reaching $1.1 billion, and a valuation soaring to $6.9 billion (up to $8.1 billion fully diluted). This listing is not only a milestone for Circle after seven years of effort but also marks the official entry of stablecoins into the mainstream capital market stage.
Oversub_script_ion of 25 times, market confidence behind institutional buying.
The IPO process of Circle can be described as a feast of demand. Initially, it was planned to issue 24 million shares at a price of $24-26, but due to high investor enthusiasm, the final issuance increased to 34 million shares, with the price rising to $31. Sub_script_ion orders exceeded the available shares by 25 times, with giants such as BlackRock (planning to subscribe for 10% of the shares) and “Cathie Wood”‘s ARK Investment Management (intending to subscribe for $150 million) entering the fray. The underwriting team is led by JPMorgan Chase, Citigroup, and Goldman Sachs, and they received an additional 5.1 million shares in over-allotment rights.
The market’s optimism towards CRCL stems from two core logics:
- Compliance Barriers: Circle holds multiple licenses, including the New York BitLicense, undergoes regular audits by the Big Four, and builds a moat amid tightening regulations.
- Policy dividends: The U.S. Senate advances the GENIUS Act, Hong Kong issues the stablecoin regulations, and the global regulatory framework clarifies, accelerating the entry of traditional financial institutions.
The Empire of USDC
As the core asset of Circle, the USD stablecoin USDC currently has a circulation of 61 billion dollars, accounting for 29% of the global stablecoin market share, second only to Tether USDT (accounting for 64%). Its business model is highly focused:
- Revenue structure: In 2024, total revenue of 1.676 billion USD, 99% comes from the interest income of USDC reserves (mainly invested in short-term U.S. Treasury bonds and bank deposits);
- Revenue-sharing mechanism: According to the agreement with Coinbase, Circle must share 50% of the remaining profits after deducting operating costs with the other party, resulting in distribution costs accounting for as much as 61% of reserve income in 2024.
Financial performance highlights industry characteristics: Net profit of $268 million in 2023, decreasing to $156 million in 2024, mainly affected by the contraction of trading services, but achieving profitability for two consecutive years is already a benchmark in the crypto space.
Trillion Dollar Market and Gray Rhino Risks: The Dual Future of Stablecoins
The listing of Circle comes at a time of explosive growth for the stablecoin industry: the global market capitalization has surpassed 250 billion USD and may reach 3 trillion USD within five years. The growth momentum is clear:
- Demand for crypto infrastructure: As a medium of exchange and a store of value, stablecoins are the core infrastructure of DeFi and cross-border payments;
- Traditional finance infiltration: Institutions like PayPal (PYUSD) and Fidelity are entering the market, promoting the tokenization of RWA (real-world assets) and the deep integration of stablecoins.
But the shadow of risk cannot be ignored either:
- Interest rate sensitivity: According to the prospectus, a 1% rate cut by the Federal Reserve could result in a decrease of $441 million in Circle’s revenue;
- Run on the bank risk: During the 2023 Silicon Valley Bank crisis, Circle faced a temporary depegging of USDC due to $3.3 billion in reserves being trapped. Economists warn that if stablecoins evolve into “shadow banks,” large-scale redemptions could trigger a sell-off of U.S. Treasuries, threatening financial stability.
When the bell rings in the NYSE trading hall for CRCL, a trader remarked: “This is not only a victory for Circle, but also a turning point for cryptocurrency’s integration into the traditional financial system.”
As USDC reserves exceed $53 billion (managed by BlackRock), and RWA accelerates its implementation in scenarios such as green energy and cross-border settlement, Circle’s listing may usher in a new era of global allocation of on-chain assets—provided it can overcome the “dual anchors” of regulation and market trust.
