Circle plans IPO but talks with Ripple, Coinbase could lead to sale: Report

Circle, the issuer of stablecoin USDCUSDC$0.9997USDCChange (24h)0.02%Market Cap$52.17BVolume (24h)$8.07BView More, is still planning an initial public offering (IPO), but the company is also in informal talks with Ripple and Coinbase about a sale,accordingto a report from Fortune.

Circle is seeking at least $5 billion, which is its target for the IPO, according to the four banking and private equity sources Fortune cited. Ripple tried to purchase Circle on April 30, but the $4 billion to $5 billion bidwas rejected as being too low.

If Ripple or Coinbase were to buy Circle, the details of a purchase would differ. Ripple would pay using cash and XRPXRP$2.37XRPChange (24h)1.48%Market Cap$136.9BVolume (24h)$2.97BView More, a cryptocurrency that Ripple created. Coinbase, on the other hand, would use cash and stock.

Coinbase and Circle have a relationship dating to 2018, when they launched the Centre Consortium. That venture was meant to establish standards for fiat-backed stablecoins, including USDC. Coinbase also has an agreement with Circle to put USDC onto its exchange.

Circlefiled for an IPO on April 1with a goal to complete the process by the end of that month. The companybackpedaled slightlyon April 4, indicating it might delay its IPO due to economic uncertainty.

Related:New bull cycle? Bitcoin’s return to $100K hints at ‘significant price move’

Market conditions for IPOs improve as tariffs wane

In December 2024, Bitwise predicted that 2025 would be the year of the crypto IPO, and that prediction is starting to bear fruit. Aside from Circle, crypto exchangesGeminiandKrakenare mulling IPOs in 2025 or early 2026 as US President Donald Trump has pushed for a more favorable regulatory environment for crypto in the United States.

Those plans were put on hold after the Trump administration enacted wide-ranging tariffs that caused market turmoil. With the tariffs now suspended or reduced, markets have rebounded.

On May 12, Cointelegraph reported that BitcoinBTC$105,605BitcoinChange (24h)0.21%Market Cap$2.09TVolume (24h)$42.83BView Morewas 4.8% away from reaching its all-time highof $109,800. EtherETH$2,502EthereumChange (24h)2.15%Market Cap$301.46BVolume (24h)$22.39BView More, XRP, and SolanaSOL$165.80SolanaChange (24h)2.42%Market Cap$80.68BVolume (24h)$4.05BView Morehave also seen big gains in the past month. The stock market has rebounded as well, with the S&P 500 jumping 15.6% in the past monthaccordingto Google Finance.

At least one company has benefited from completing its IPO during this period of renewed enthusiasm: eToro, an Israel-based trading company. After an IPO on May 14, itsstock price jumped 29%.

Magazine: .X Hall of Flame: Bitcoin will ‘start ripping’ as Trump’s polls improve — Felix Hartmann

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