Circle rises over 40%, now at $115.13

Circle rises over 40%, now at $115.13

Circle (CRCL), the stablecoin issuer behind USDC, saw its stock price climb by over 40% to $115.13 on June 6, 2025. This significant increase comes just one day after the company's initial public offering (IPO) on the New York Stock Exchange (NYSE) [1].

On June 5, Circle's shares opened at $31 and surged 167% in the first trading session, closing at $82. The company's strong debut hints at a growing market appetite for stablecoin businesses [1, 2, 3]. The IPO was oversubscribed, with significant interest from major asset managers such as BlackRock and ARK Investment [1, 2].

Despite the positive reception, the company faced criticism from Arca Chief Investment Officer Jeff Dorman, who expressed displeasure with the allocation of shares in the IPO [1, 2]. However, Circle's strong fundamentals and the expected growth of the stablecoin market continue to attract investors [3].

Circle's revenue and reserve income totaled $578.6 million in the first three months of 2025, marking a 59% increase from the same period last year [3]. The company's adjusted EBITDA of $122.4 million in the first quarter demonstrates strong operational efficiency and scalability [3].

The stablecoin market, led by Tether (USDT) and USDC, currently stands at $215.5 billion and is projected to surge to $3.7 trillion by 2030, driven by growing integration into financial systems, global remittance use, and broader blockchain adoption [3]. Circle, with its extensive network of partners and smart contracts, is well-positioned to capture this growth.

However, Circle faces risks, such as its USDC reserves being heavily tied to short-term U.S. Treasuries, making it vulnerable to interest rate fluctuations [3]. Despite these concerns, many analysts see Circle's strong fundamentals and stablecoin leadership as key advantages.

References:
[1] https://cointelegraph.com/news/circle-stock-price-jumps-167-in-first-day-of-trading-after-ipo
[2] https://www.tradingview.com/news/cointelegraph:ac45cc532094b:0-circle-stock-price-jumps-167-on-first-day-of-trading-after-ipo/
[3] https://www.ccn.com/news/business/circle-stock-soars-ipo-fueling-stablecoin-market-surge/