Mark Weaden
Cryptocurrency Payment System Circle to Float on the Nasdaq
Circle is the creator of the USD Coin, which is designed to maintain an equal value to the US dollar. The company will go public in the US in a $4.5 billion deal with Concord Acquisition Corp.
The planned takeover will be managed by an Irish holding company that will list the business on the New York Stock Exchange. The $4.5bn valuation has certainly turned heads and comes just a day after Visa announced a partnership deal with some 50 companies, with the aim of pushing crypto card payments into the mainstream.
USD Coin is slated as a so-called stablecoin, which is what many would claim Bitcoin and Ethereum are within the crypto sphere. However, the aim of USD is that the price is pegged to the US dollar. The digital currency has seen some $785bn in deals recorded on its blockchain so far.
Circle isn’t the first company to float on the Nasdaq. Coinbase is the largest cryptocurrency exchange in the world and became the first to appear on the American market this year. Digital wallet Bakkt, which allows customers to spend and send digital assets, namely cryptocurrency, are also aiming to join Coinbase and Circle on the US stock market.
With rising numbers of cryptocurrency holders globally, companies are beginning to recognize the direction of this new way of managing finances. One aspect of the cryptocurrency industry that is lacking, certainly for slow adopters and newcomers, is the lack of transparency between the value of crypto and the mainstream coverage of it.
Moving from privately owned companies to public companies is the kind of move that will bridge the gap for those that still have doubts over the legitimacy and value of cryptocurrency. While this is still in the early stages, it’s certainly a very exciting move and we are likely to see the availability of many more crypto payment systems popping up this year.
