Circle Internet Group’s IPO was priced at $31 on Wednesday. The trust of investors was visible with the price of the Circle stock opened on the New York Stock Exchange on Thursday at $69 apiece and closed at $83.23. Stablecoin issuer Circle’s $1.05B IPO (initial public offering) on Thursday is going to inspire other large crypto players to follow as the industry benefits from the government’s embracing the crypto sector, as per the experts and analysts.
“It would not be surprising if other crypto companies follow suit,” said Jacob Zuller, an analyst at Third Bridge. “Public markets have accepted that crypto is not going away.”
Circle stock price
The share price of Circle soared 168% after the stablecoin company and its selling shareholders raised almost $1.1 billion in IPO. On it’s debut the Circle stock opened at $69 on the NYSE after its IPO priced at $31. At one point, shares traded as high as $103.75.
Stablecoin Circle IPO
The New York-based company priced its IPO late Wednesday far above this week’s expected range of $27 to $28, and an initial range last week of between $24 and $26, valuing the company at some $6.8 billion before trading began.
Trading volume by the end of the session was about 46 million, far exceeding the number of freely floating shares available for trading.
Rising power of Crypto companies on NYSE
Circle joins Coinbase, Mara Holdings and Riot Platforms as one of the few pure-play crypto companies to list in the U.S. This marks the company’s second attempt at going public. A prior merger with a special purpose acquisition company collapsed in late 2022 amid regulatory challenges.
As per CEO Jeremy Allaire, “To realize our vision, we needed to forge relationships with governments, we needed to work with policymakers … because if you want this to work for mainstream, it’s got to work in mainstream society and you need to have those rules of the road”. He added, “We’ve been one of the most licensed, regulated, compliant, transparent companies in the entire history of this industry, and that’s served us well.”
The rise of Circle
Allaire co-founded Circle in 2013. Based in Boston, the company initially focused on consumer-facing payments and crypto wallet and exchange services and was the first to receive the famously difficult to obtain New York State BitLicense in 2015. It moved to New York earlier this year.
Both the companies have entered into an agreement to split the revenue of USDC stablecoin, and Coinbase as per CEO Brian Armstrong. stating “stretch goal to make USDC the No. 1 stablecoin.”
