Circle Internet (CRCL) Stock: Stablecoin Issuer Upsizes IPO to Target $7.2 Billion Valuation

TLDR

Table of Contents

Circle increased its IPO offering to 32 million shares at $27-28 per share, up from 24 million shares at $24-26
The company now targets a $7.2 billion valuation and aims to raise up to $896 million in proceeds
Circle’s USDC is the second-largest stablecoin globally with $61 billion in circulation, trailing Tether’s $153 billion USDT
First quarter revenue jumped to $578.6 million from $365.1 million year-over-year, with profits rising to $64.8 million
The IPO is expected to launch later this week on NYSE under ticker CRCL

Circle Internet Group made waves Monday by upsizing its initial public offering plans. The stablecoin issuer behind USDC now seeks to raise up to $896 million.

The New York-based company increased its share offering to 32 million shares. These shares will be priced between $27 and $28 each.

BREAKING: Circle, the company behind $USDC, is targeting a $7.2B valuation in its upcoming IPO.
They've upped the offering to 32M shares, priced at $27–$28 each.
Big players like BlackRock and Ark Invest are reportedly eyeing significant stakes. pic.twitter.com/rW8Lj916su
— Altcoin Daily (@AltcoinDaily) June 2, 2025

This represents a jump from Circle’s previous plan to sell 24 million shares at $24 to $26 per share. The upsizing signals strong investor appetite for crypto-related companies.

At the midpoint price of $27.50, Circle would achieve a valuation of roughly $7.2 billion. The company expects to have about 257.1 million total shares outstanding after the offering.

Circle’s USDC stablecoin holds the number two position in the market. The token maintains $61 billion in circulation according to CoinMarketCap data.

However, Circle faces stiff competition from market leader Tether. Tether’s USDT stablecoin commands $153 billion in circulation, more than double Circle’s reach.

Financial Performance Shows Strong Growth

Circle’s recent financial results demonstrate robust business momentum. First quarter revenue reached $578.6 million, up from $365.1 million in the same period last year.

The company posted profits of $64.8 million in Q1 2025. This compares to $48.6 million in profits during Q1 2024.

Circle generates most of its revenue from reserve income. The company earns interest on Treasury securities that back its USDC stablecoin.

Reserve income climbed 55.1% to $557.9 million in the first quarter. But distribution and transaction costs also surged 68.2% during the same period.

This cost increase outpaced revenue growth. Circle distributes USDC primarily through partnerships with Coinbase and other third-party platforms.

Regulatory Tailwinds Support Launch

The IPO timing benefits from a friendlier regulatory environment under the Trump administration. The SEC now takes a more accommodating stance toward cryptocurrency companies.

This marks a shift from the previous administration’s approach. Former SEC chair Gary Gensler maintained a skeptical view of crypto during President Biden’s term.

Circle originally attempted to go public in 2021 through a SPAC merger. The company abandoned those plans due to regulatory uncertainty.

The SEC had questioned whether Circle should register as an investment company. Regulators also examined if USDC qualified as a security requiring stricter oversight.

Current SEC chair Paul Atkins has adopted crypto-friendly policies. This regulatory shift has contributed to a broader crypto market rally.

Bitcoin prices have recovered to near record highs above $100,000. Other crypto companies like eToro and Galaxy Digital have successfully completed public offerings.

Circle has assembled an impressive roster of backers and partners. Coinbase holds both an investment stake and distribution partnership with the company.

BlackRock maintains a partnership with Circle for stablecoin services. Investment firm Fidelity has also backed the company.

Venture capital firms Accel, General Catalyst Group, and Oak Investment Partners round out Circle’s investor base. This support provides credibility for the upcoming public debut.

Circle acknowledges the competitive challenges ahead in its SEC filings. The company warns that established payment companies or banks could enter the stablecoin market.

Network effects make stablecoin adoption particularly important for long-term success. A rapidly growing competitor could potentially limit Circle’s market viability.

The IPO is scheduled to launch later this week on the New York Stock Exchange under ticker symbol CRCL.

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