The stablecoin giant Circle (CRCL.US) is massively popular on the market and injects a strong stimulant into the US IPO market.

Stablecoin giant Circle (CRCL.US) made a hot debut on Thursday, injecting a strong dose of confidence into the US IPO market and potentially encouraging more companies in the digital asset and other fields to go public. It is understood that Circle's initial public offering (IPO) performance exceeded everyone's expectations, with pricing well above the previously expected price range, ultimately receiving more than 20 times the subscription volume. The company's stock price more than doubled shortly after opening and closed with a 168% increase. Circle's $1.1 billion IPO is the most eye-catching cryptocurrency IPO since Coinbase's direct listing in 2021. Circle's performance may give other cryptocurrency companies considering going public more confidence. Cryptocurrency custody company BitGo Inc. is reportedly considering an IPO later this year. Sources revealed that one of the oldest cryptocurrency exchanges, Kraken, is preparing to go public in early 2026. Additionally, there are reports that cryptocurrency company Gemini has secretly filed for an IPO and may go public later this year. Circle has scarcity value However, as a stablecoin issuer, Circle is fundamentally different from other cryptocurrency companies such as Strategy (MSTR.US), Coinbase, and Galaxy Digital (GLXY.US) that profit from the volatile price of bitcoin. Circle is the first stablecoin company to go public, with most of its revenue coming from US government bonds and other income-generating instruments that support the value of its tokens. In contrast, the majority of revenue for cryptocurrency exchanges like Coinbase comes from trading fees, resulting in much higher profit margins. Rohit Kulkarni, Senior Internet and Capital Markets Research Analyst at Roth Capital Partners, said, "Investors are currently not too concerned about these risks because Circle has scarcity value." Given the rebound in the stock market and cryptocurrency in May, as well as the strong performance of several related companies in the market recently, the timing of this IPO couldn't be better. Online brokerage eToro Group (ETOR.US) went public in mid-May and its stock price has since risen by 20%. At the same time as Circle's debut on the market, the US Congress is considering legislation to regulate stablecoins. Circle claims to have the second largest stablecoin after Tether Holdings SA, but also the "largest regulated payment stablecoin". Circle's co-founder and CEO Jeremy Allaire said on Thursday that the IPO will bring more trust, compliance, and transparency to Circle's regulated stablecoin network and help it collaborate with other financial institutions. Allaire said, "Becoming a public company will definitely enhance our ability to collaborate with mainstream institutions around the world." Circle's notable debut may even help boost the value of companies in other sectors, especially those with valuations lower than in previous years. The next major FinTech IPO is Chime Financial (CHYM.US), whose fully diluted valuation could reach as high as $11 billion. Reports indicate that this valuation is significantly lower than the $25 billion valuation from its 2021 private financing, but the company has already attracted several times oversubscription.