Circle, the company behind the popular stablecoin USDC, is still planning to go public. Their CEO, Jeremy Allaire, says they’re in a strong financial position and don’t need to raise more money before the IPO.
Circle’s IPO Plans
Circle filed a confidential draft registration for an IPO with the SEC back in January. They’re also expanding their workforce, especially in anticipation of new regulations for stablecoins. Allaire believes the US government will pass some stablecoin bills before the end of the year.
Tether Under Investigation?
While Circle is looking ahead to its IPO, their biggest competitor, Tether, is facing some trouble. The Wall Street Journal reported that US authorities are investigating Tether for potential anti-money laundering violations.
Tether denies these allegations, saying there’s no indication they’re under investigation. They also claim they’re committed to preventing the misuse of their stablecoin, USDT.
Market Impact
The news about Tether’s potential investigation caused a negative reaction in the crypto market, with Bitcoin dropping by over 3%. This shows how important USDT is in the digital asset space.
Tether’s IPO Stance
Tether’s CEO, Paolo Ardoino, says they have no interest in going public. He believes an IPO would slow down their development and disrupt their current operations. He also says they don’t need to raise capital right now, as they have over $1 billion in cash on hand.
