Bloomberg reported on May 28 that BlackRock plans to acquire approximately 10% of the shares offered in Circle’s initial public offering (IPO).
Circle, the issuer of the USDC stablecoin, launched its IPO on May 27, planning to raise $624 million by offering 24 million Class A shares. The offering includes shares from the company and insiders such as CEO and co – founder Jeremy Allaire. The pricing is scheduled for June 4, and orders for the offering have reportedly exceeded the number of shares available.
BlackRock already manages the Circle Reserve Fund, a government money market fund that holds roughly 90% of the reserves backing Circle’s USDC stablecoin. The fund reported nearly $30 billion in net assets as of April 30, 2024. This investment would deepen the existing relationship between BlackRock and Circle and is seen as a significant move that could bring more legitimacy and regulatory clarity to the crypto sector. Cathie Wood’s Ark Invest is also interested in the offering, with a reported $150 million allocation.
Related topic:
