Stablecoin issuer.$Circle (CRCL.US)$The explosive performance on the first day of listing not only allowed Wall Street to witness the craziness of the 'Crypto Circle' again, but also likely to trigger more listings of 'Crypto Circle' Assets.
On June 5th, the stablecoin 'first stock' Circle Internet Group Inc. (CRCL) closed nearly 170% higher on its first day of trading in the US IPO, reporting at $83.23, much higher than the previously set IPO issue price of $31 per share, peaking at $103.75 during the day after soaring 235%.
According to previously mentioned insights from Wall Street, Circle's IPO issue price of $31 was significantly higher than the expected range of $27 to $28 this week, and also higher than last week's initially set range of $24 to $26, attracting over 20 times the oversubscription, raising nearly $1.1 billion.
Reportedly, Circle has become the most noteworthy Crypto company IPO debut since directly listing in 2021, and its exceeding expectations performance has instantly ignited market enthusiasm.$Coinbase (COIN.US)$ Matt Kennedy, a senior Analyst at Renaissance Capital, bluntly stated:
"I'm sure other companies are talking to their investment banks today (referring to those cryptocurrency companies that have been hovering around the public market). This confidence is not baseless; Circle's successful performance is paving the way for IPO aspirants across the entire cryptocurrency Industry."
The queue of cryptocurrency IPO candidates is growing.
Circle's success has already triggered a chain reaction within the Industry. According to previous reports by Bloomberg, the cryptocurrency custody company BitGo Inc. is considering an IPO later this year.
Kraken, one of the oldest cryptocurrency Exchanges, is said to be preparing for an IPO in early 2026, according to insiders.
Billionaire Winklevoss twins' cryptocurrency company Gemini has secretly filed for an IPO and may go public later this year.
The digital Assets Exchange Blockchain.com has also made several high-profile hires to accelerate its plans to become a public company.
Analysts point out that for those cryptocurrency companies still waiting for the right moment, Circle's victory is undoubtedly a strong signal: the doors to the IPO market are reopening.
Circle's perfect timing for an IPO.
The timing of Circle's listing can be considered perfect. As Congress is considering legislation on stablecoin regulation, Circle positions itself as having the "largest regulated payment stablecoin." Circle's co-founder and CEO Jeremy Allaire stated in an interview with Bloomberg:
"Becoming a public company will definitely help us collaborate with mainstream global institutions. The IPO will bring more trust, compliance, and transparency to Circle's regulated stablecoin network and assist in building partnerships with other Financial Institutions."
It is worth noting that Circle, as a stablecoin issuer, has essential differences from other Cryptos companies.
Compared to $Strategy (MSTR.US)$ , Coinbase and $Galaxy Digital (GLXY.US)$. and others that rely on$Bitcoin (BTC.CC)$The companies that profit from price fluctuations differ; Circle's revenue mainly comes from U.S. Treasury bonds and other income-generating tools that support the value of its tokens.
Senior Internet and Capital Markets Research Analyst at Roth Capital Partners, Rohit Kulkarni, pointed out: "Investors are less concerned about these recent risks because Circle has a scarcity value."
This novelty of being the first stablecoin company to go public makes it easier for early buyers to overlook potential long-term competitive threats and the impact that declining interest rates might have on revenue.
Editor/Rocky
