Circle Shares Open at $69 on NYSE, Raising $1.1 Billion in IPO
Circle (CRCL) shares began trading on the NYSE at $69, a 123% increase from the previous night’s set price of $31. The company raised $1.1 billion by selling about 34 million shares in its IPO, achieving a valuation of $6.9 billion. This marks Circle's entry into public markets following previous unsuccessful attempts.
The listing occurs amid a challenging macroeconomic environment, with many companies projecting weak earnings. In contrast, Circle’s primary business of issuing the USDC token is benefiting from increased demand for stablecoins, driven by advances in U.S. regulation. Policymakers are moving closer to establishing clearer rules for stablecoins, which may enhance their legitimacy in mainstream finance.
Deutsche Bank has predicted that stablecoins are nearing mainstream adoption, highlighting their expanding role in digital payments and cross-border transactions. Circle’s IPO reflects investor confidence in the future significance of stablecoins as part of financial infrastructure.