Update July 14, 2:15 p.m. UTC: This article has been updated to include a section on Circle’s IPO and the US regulatory landscape.
Cryptocurrency-focused asset manager and exchange-traded fund (ETF) issuer Grayscale joined a growing list of crypto companies seeking to launch IPOs in the United States.
On Monday, Grayscale said it had filed to list its company shares with the Securities and Exchange Commission (SEC) under a new clause that enables confidential filings ahead of a final public offering.
Entering public markets would enable Grayscale to seek more funding opportunities through strategies such as public stock offerings, which was leveraged by Michael Saylor’s Strategy, or convertible note offerings, such as GameStop’s $2.25 billion offering from June 13.
Related: ‘Apple should buy Bitcoin,’ Saylor says, as share buyback disappoints
Grayscale’s filing comes over a month after Circle, the issuer of the world’s second-largest stablecoin USDC (USDC), upsized its IPO to over $1.05 billion and debuted on the New York Stock Exchange on June 5.
The IPO pricing gave Circle a valuation of $6.9 billion based on the more than 220 million outstanding shares listed in a June 2 filing.
Circle’s IPO success may inspire more crypto-native firms to move into public markets with similar offerings, sparking a renewed crypto IPO season in 2025.
Related: Blockchain Group adds $68M in Bitcoin to corporate treasury
Circle’s IPO filing benefits from regulatory tailwinds
Circle’s new IPO filing comes ahead of a significant week for crypto regulations, dubbed by the US government as “Crypto Week.”
US lawmakers are seeking to pass three key cryptocurrency bills aiming to bolster industry improvement and offer more clarity for stablecoin issuers: the Guiding and Establishing National Innovation for US Stablecoins, or GENIUS Act, the Digital Asset Market Clarity Act (CLARITY Act) and the Anti-CBDC Surveillance State Act, which seeks to prevent the creation of a central bank digital currency (CBDC).
Circle’s IPO and previous upsizing reflect “deepening institutional belief” that stablecoins will soar to play a “foundational role” in the financial system, according to James Toledano, chief operating officer at Unity Wallet.
“It may also be opportunistic given the relaxation of regulations and an incredibly favorable environment in the U.S. under the Trump administration,” he told Cointelegraph, adding that he expects stablecoins to “move beyond crypto trading into mainstream payments.”
[embedded content]
Magazine: Bitcoin vs stablecoins showdown looms as GENIUS Act nears