Arca unloads Circle shares after scathing IPO letter

Arca Chief Investment Officer Jeff Dorman said the digital investment company has sold all of its Circle shares following the stablecoin company’s recent listing on the New York Stock Exchange.

The update followed ascathing open letterpublished by Dorman on social media on June 5, criticizing Circle for giving the investment firm a “throwaway” allocation inCircle’s initial public offering(IPO).

According to Dorman, Arca submitted an order for $10 million in Circle shares in April 2025 and only received a $135,000 allocation despite being a long-time supporter and one of the earliest investors to submit a bid. The executive wrote in a now-deleted letter:

“Arca is closing all of our accounts with Circle and will tell every single dealer we work with that we will no longer accept USDC,” Dorman continued.

Cointelegraph reached out to Circle for comment on the letter but hadn’t received a response by the time of publication.

Circle’s public listing is a significant development in the crypto industry as the issuer of theworld’s second-largest stablecoin, Circle-USDUSDC$0.9993, with a total market capitalization of over $61 billion, now has access to the world’s deepest capital market.

Related:BlackRock eyes 10% stake in Circle’s IPO — Report

Circle lists on the NYSE to trading frenzy

Circle began trading on the NYSEon June 5 under the ticker CRCL, following an IPO thatraised $1.05 billion.

The company’s sharessurged by 167%on its debut, closing out the trading day at $82.

The stock continued the rally on June 6 and is currently trading hands around $115 per share during intraday hours.

Magazine:Unstablecoins: Depegging, bank runs and other risks loom

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