Circle Internet Financial’s private stock is currently estimated to be worth between $5 billion and $5.25 billion.
Prior to its IPO, the USDC issuer is reportedly allowing “some trading” of its shares on the secondary market. That is, however, being done on a “case-by-case basis and only in specific situations.”
Before going public, Circle is looking to shift its camp from Ireland to the US. As reported by blocmates, the company has already filed papers and set the wheels in motion.
Circle filed for its public listing in the US in January this year. The IPO is expected to take place after the Securities and Exchange Commission [SEC] wraps up its review process.
The number of shares that will be offered and the price bandwidth for the proposed offering have not yet been chalked out.
Before choosing to go public via the IPO route, the company trod down the special purpose acquisition company [SPAC] route in 2021, with a valuation reported at $9 billion. The deal went downhill when Circle did not complete the SEC's "qualification in time."
An anonymous source familiar with the matter highlighted that the current stock sellers are either early-stage investors who are divesting for liquidity reasons or Circle employees.
That being said, it should be noted that the company is restricting trades to only those at or above a $5 billion valuation.
One source clarified that investors “need not fret” about the $9 billion-$5 billion difference in valuation as the secondary market is “very depressed” at the moment.
This is because there are “many investors who need to raise cash and so will sell at any price,” the report highlighted.
USDC’s valuation, on the other hand, continues to hover around the $33 billion mark, with over $5.2 billion being traded in volume over the past day.
