BlackRock Targets 10% of Circle’s IPO Allocation, Ark Invest Commits $150M

In its push to join the ranks of public blockchain companies, Circle Internet Group is set to list on the NYSE under the ticker CRCL, seeking $624 million through a 24 million share sale. The company behind USDC, the second-largest stablecoin, has already drawn the attention of major institutional backers—BlackRock is eyeing a 10% allocation, while Ark Invest is preparing a $150 million bet on Circle’s crypto-future. According to Bloomberg, the IPO is expected to wrap up in early June, with the share price projected to launch at around $24.

Offering Structure and Shareholder Participation

Circle’s IPO mix leans heavily on insider selling—9.6 million shares will be freshly issued, but a larger portion, 14.4 million shares, comes from existing shareholders offloading their stakes, bucking the usual tech IPO trend.

Jeremy Allaire, Circle’s co-founder and CEO, is set to sell 8% of his stake. Sean Neville, former co-CEO, and Jeremy Fox-Geenis, CFO, will each part with 11%. Top-tier venture firms, including Accel, Breyer Capital, and General Catalyst, are also planning to reduce their positions by about 10%.

Check this out: Circle Takes USDC Public — IPO Filing Targets NYSE Listing

After shelving its SPAC route amid a bearish market, Circle is now aiming for a direct IPO with a projected valuation near $5.43 billion, seeking stability over speed.

Institutional Weight: BlackRock at the Helm

As a long-term ally, BlackRock has been instrumental in Circle’s ascent. Its $401 million Series F contribution came at a peak-cycle $8.05B valuation, and it now manages the Circle Reserve Fund, which secures a significant portion of USDC’s backing.

Of interest: Larry Fink’s Crypto Pivot: The BlackRock King Who Dared to Question the Dollar

BlackRock’s interest in acquiring a 10% slice of Circle’s IPO could be executed either directly or through associated entities, according to market observers. Ark Invest, led by Cathie Wood, is prepared to commit up to $150 million—another clear sign that legacy finance is leaning into crypto.

Circle has already laid technical groundwork by launching a smart contract that facilitates USDC flows through BlackRock’s BUIDL fund, aiming to streamline digital liquidity for large-scale players.

Read on: USDC Reaches $60 Billion Market Cap, Setting New Record

Circle’s 2024 Earnings and Competitive Positioning

Circle saw revenues grow to $1.68 billion in 2024, up from $1.45 billion the year prior. However, net income fell to $155.7 million from $267.5 million, as the firm absorbed higher reserve costs and navigated continued market swings. USDC currently holds a $61.3 billion market capitalization, making it the second-largest dollar-pegged stablecoin after USDT, which leads with $152.9 billion.

Tether’s leadership, including CEO Paolo Ardoino, has downplayed the prospect of going public. Regulatory discussions in Congress may soon require stablecoins to be fully backed by fiat and secure assets, which could reshape disclosure standards industry-wide.