Circle Files For IPO As Revenues Rise To $1.7bn

Circle Internet, the US firm behind the world’s second-largest stablecoin, has filed to go public in New York, becoming the first major crypto company to do so since President Donald Trump created a more favourable climate for digital assets.

The company submitted its IPO application to US regulators on Tuesday evening. It had filed initial paperwork early last year, following an earlier attempt that collapsed in late 2022.

According to the latest filing, Circle’s revenues from the reserves backing its USDC stablecoin rose to $1.66bn in 2024, up from $1.4bn the year before. Most of the reserves are held in a money-market fund managed by BlackRock, which benefited from US interest rates holding above 5 per cent for much of the year, as the Federal Reserve tried to control inflation.

Despite the increase in revenue, Circle’s net profit dropped to $156mn, down from $268mn in 2023. The fall was due to a sharp rise in costs, including $1bn in payments to firms like Coinbase to encourage them to use and distribute its stablecoin.

Circle’s renewed push to list comes as crypto firms look to make the most of what they see as a shift in the US political and regulatory landscape. Trump has vowed to make the country “the crypto capital of the planet”, and his administration is expected to support the sector’s growth more actively than before.

But there are headwinds. Markets expect US interest rates to fall this year, which would reduce the income stablecoin issuers earn from their reserves. There are also concerns about the wider economic impact of Trump’s tariff proposals.

Stablecoins are digital tokens tied to traditional currencies, typically the US dollar. They are designed to act as a fast, low-cost alternative to cash, outside the banking system. They are widely used to trade other cryptocurrencies and, increasingly, to make payments for goods and services.

Lawmakers in the US are still debating how to regulate the stablecoin sector. Since January, the Securities and Exchange Commission has pulled back from several enforcement actions against crypto firms, suggesting a softer stance may now be in play.

Jeremy Allaire, Circle’s chief executive, told investors that the move to go public reflected the firm’s long-standing aim to be as open as possible. “Becoming a public company is a continuation of our desire to operate with the greatest transparency and accountability possible,” he said.

He added: “But more than anything, going public now is representative of the fact that we are at a significant crossroads for Circle and the development of the internet financial system.”

Circle now has around $60bn of USDC in circulation, up from $43bn at the end of last year. It remains behind rival Tether, which has issued more than $144bn worth of tokens.

The listing attempt marks a second try for Circle, after the planned merger with a SPAC chaired by former Barclays chief Bob Diamond was abandoned in late 2022. That deal would have valued the company at between $7bn and $9bn.

The IPO is also a milestone in the company’s recovery from the collapse of Silicon Valley Bank in 2023, where Circle had $3.3bn of reserves locked up. The value of USDC briefly fell below its dollar peg before US regulators guaranteed the bank’s deposits.

Since Trump’s election win, crypto markets have rallied and interest in public listings has returned. Other firms, including US-based exchange Kraken, are also preparing for potential IPOs. Kraken’s listing could come as early as next year, according to a source familiar with its plans.

Circle’s biggest shareholders include Accel, Breyer Capital, General Catalyst and Fidelity. JPMorgan Chase and Citigroup are managing the offering.