USDC Issuer Circle Changes Mind on Going Public, CEO Reveals Q3 Earnings

Circle, the US financial services firm behind the stablecoin usdchas changed its mind about seeking a public listing in the near future, and now says it will remain focused on building a “long-term public company”.

plan to go public This has been central to Circle since the beginning of the year, which it set out to do with the help of Concorde Acquisition Corp., a so-called special purpose acquisition company (SPAC) that is publicly traded.

Under the terms of Concorde’s certificate of incorporation, the SPAC had until December 10 of this year to complete the business combination with Circle. Now, however, the proposed business combination has been struck down by the boards of directors of both Concord and Circle.

“We are disappointed that the timing of the proposed transaction has come to an end, however, becoming a public company is part of Circle’s core strategy to increase trust and transparency,” said Circle CEO and co-founder Jeremy Allaire. has never been more important.” Press release on Monday.

The two firms had originally planned to set up a holding company together, which would then be publicly listed, effectively opening a fast-track to a listing for Circle.

Comments about the firm’s change of plans were also made in a Twitter thread posted by Allaire on Monday:

Circle is now in its “best financial position ever”

Meanwhile, commenting in the same thread on his firm’s financial performance in the third quarter, the CEO said that although there are “a lot of challenges” in the crypto industry at the moment, Circle is in good shape.

“We are strong, growing, profitable and in the best financial position we have ever been in,” Allaire wrote in the thread, pointing to third quarter revenues of $274m, $43m in net income, and $400m in net income. balance sheet.

In conclusion, Allaire said that he sees the crypto industry more broadly as currently in the process of moving toward a new phase characterized more by utility and less by speculative value.

,[…] I firmly believe that we are going to decisively leave the speculative value phase and enter the utility value phase, and stablecoins like USDC will play a big role,” Allaire wrote.