Stablecoin issuer Circle, the entity backing USDC, is planning to move its legal base from Ireland to the United States ahead of its upcoming initial public offering (IPO).
The strategic relocation comes as Circle prepares for its IPO, having confidentially filed paperwork with the U.S. Securities and Exchange Commission (SEC), even as market volatility has reduced trading activity.
According to a May 15 report by Bloomberg, a Circle spokesperson confirmed that the company has filed documents with the court to re-establish itself as a legal entity, although the spokesperson did not provide further details on the matter.
As recently as January, the stablecoin issuer reportedly secretly submitted plans for an initial public offering following a long period of reduced trading due to market volatility.
The Boston-based company initially planned to go public in July 2021. Circle's IPO plan came after its merger deal with Concord Acquisition Corp. fell through. The deal was expected to value Circle at $9 billion, but the deal was not completed because the SEC did not approve the relevant documents.
Details of Circle’s IPO have not yet been announced, including the number of shares to be issued and the expected price range. However, the company’s listing is likely to bring it a lot of funds, which can be used to strengthen USDC’s market position, especially in competition with other stablecoins such as USDT issued by Tether.
As a means of capital injection, IPO will help Circle strengthen its infrastructure and expand its marketing activities.
Circle initially chose Ireland as its base due to its favorable tax environment, which is also why other tech giants such as Coinbase, Apple, Google and Facebook have chosen to set up their EU headquarters in the region.
As Circle moves its legal base back to the United States, it could mark a major shift in the company’s financial and operational strategy to accommodate its goals of global expansion and growth.
Conclusion:
As Circle plans to move its legal base from Ireland back to the United States, this move not only reflects the company's confidence in the US market, but also reflects its full preparation for its upcoming IPO. Circle's strategic relocation, coupled with its confidential IPO filing, foreshadows the company's ambitions in the global fintech field.
Although its previous merger with Concord Acquisition Corp. failed to materialize, Circle has shown its determination to go public through the traditional IPO route. Once this move is successful, it will not only bring a significant increase in capital for Circle, but also help its USDC stablecoin gain a more favorable position in the highly competitive market. At the same time, Circle’s decision may also become a noteworthy case for other technology companies on the road to global expansion. #稳定币 #Circle #IPO #法律基地