Global asset management titan BlackRock is reportedly set to acquire a 10% stake in the upcoming Initial Public Offering (IPO) of Circle, the issuer of the USDC stablecoin. Circle launched its IPO on May 27, aiming to raise $624 million by offering 24 million Class A shares.
In addition to BlackRock, ARK Invest, led by Cathie Wood, plans to invest $150 million, underscoring the increasing interest from institutional investors. The IPO includes shares both newly issued by Circle and sold by existing shareholders, including co-founder Jeremy Allaire.
Reports suggest the IPO is oversubscribed, indicating more demand than available shares—an encouraging sign for crypto firms entering traditional financial markets.
BlackRock already manages the Circle Reserve Fund, which backs USDC with over $30 billion in assets. This deepens BlackRock’s strategic position in Circle, making its potential investment more than just financial—it’s infrastructural.
This IPO reflects a growing convergence between traditional finance and the crypto ecosystem. Circle previously considered a SPAC merger in 2022 but is now returning to the public markets with stronger fundamentals. Despite rumors of potential acquisitions by Ripple or Coinbase, Circle has clarified that it is not for sale.
According to Circle’s SEC filing, the company posted $1.67 billion in revenue for 2024, although its net income dropped to $155.7 million from $267.6 million in 2023. Still, USDC remains the second-largest stablecoin, with a 24.6% market share behind Tether’s USDT.
With regulatory clarity improving and institutional adoption accelerating, Circle’s IPO could mark a turning point in how Wall Street views the future of crypto.
