Circle wants to go public. Concord Acquisition Corp, a SPAC, will be the recipient of the cryptocurrency company’s assets in a merger.
While more well-known as one of the members of the Centre Consortium alongside Coinbase, Circle is also one of the original members of the Consortium. They have released USD Coin (USDC), a popular stablecoin alongside other crypto partners.
Circle Goes Public
Circle stated that its business is now worth $4.5 billion. Additionally, the business received $440 million in cash in the most recent round of funding.
Prior to launching in 2013, the business first intended to provide a reliable payment network for the general public using bitcoin. They first pivoted to develop a social payments app, but they ultimately pivoted to do something else.
With Venmo-like features plus some blockchain technology, Circle offers payment services. To ensure its customers’ privacy, Circle stopped the sending and receiving of bitcoins.
Circle details their announcement in a blog post:
In addition to operating the core market infrastructure of USDC, Circle has continued to build a comprehensive suite of internet-native financial services, including Circle Account, Circle APIs, Circle Yield, including our newly announced DeFi APIs, and SeedInvest, our platform for helping companies raise capital directly from investors on the internet.
While this transaction, and the transformation of Circle into a global, publicly listed company is exciting in and of itself, it is merely a marker in our journey to transform the world’s economic system using internet-native technologies. We have a long way to go in pursuing our mission, and are incredibly grateful to each and every one of you for your support and engagement with Circle. We are also thrilled to partner with Concord’s executive and investment team, drawing on their decades of operating experience growing financial services businesses around the world.
Together, we are part of a growing multi-stakeholder ecosystem working together to advance what’s possible for the world through the power of crypto-economic systems and blockchain technology. This “money movement” is in its early innings, and we look forward to continued and intense collaboration as we keep dreaming, building and delivering value together.
What is Circle?
In the fall of 2013, Circle, a Boston-based startup that developed a peer-to-peer payments software that utilized blockchain, was launched. In 2018, Circle, Coinbase established USD Coin, a coin via a joint venture and a consortium they founded named Centre. At the same time, Circle is helping other organizations embrace stablecoins.
Circle began the year supporting ACH payments for USDC stablecoins. The ability to pay bills and draw money from one’s own bank account may be found inside the circle of customers in the United States that have access to ACH transfers.
After five months, Circle introduced USDC support on the FTX exchange. FTX clients and Blockfolio customers alike may now utilize USDC tokens, which are backed 1-1 with USD.
Coinbase has launched the first interest-bearing asset product for USD customers. Retail investors may now register to earn a 4% return on their stablecoin deposits, significantly above the average high yield banking returns of 0.5%
Along with attracting top-level payments industry figures like Dante Disparte, who previously served as the executive vice president at the Facebook-led Diem Association (formerly known as Libra), Circle has brought in several industry heavyweights, including Praveen Gupta, the current executive vice president of Vantiv, who became CTO in April 2021.
This move may solidify USDC as the definitive stablecoin, as opposed to the embattled USDT token.