Circle, the largest United States-domiciled stablecoin issuer, had an explosive first day of trading as it launched its initial public offering (IPO), rocketing to a peak of over $103 from an IPO price of $31.
This increase in stock price values Circle at approximately $20 billion.
This increase, besides suggesting that Circle could have priced its IPO higher, also leads to an interesting comparison with one of the earlier major US public offerings, Coinbase.
Read more: Circle vs. Tether: What’s in the reserves?
Coinbase didn’t use an IPO but instead had existing shareholders sell directly, with an initial reference price of $250. However, it actually opened at $381 and ended its first day of trading lower at $328.
At the closing of its first day, Coinbase had a fully diluted valuation of approximately $85 billion.
The relationship between Coinbase and Circle
Coinbase and Circle are both…
