New York City to Welcome Boston’s Largest Crypto Company Ahead of Planned IPO

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Circle Internet Financial, one of the largest and most popular startups in the global crypto industry, has announced a relocation of its headquarters to New York City. According to chief executive officer Jeremy Allaire, Circle is moving to the renowned One World Trade Center in Manhattan and will occupy the 87th floor.

Circle is popular as the company behind USDC, one of the world’s largest cryptocurrency assets and the second-largest stablecoin - a crypto asset whose value is tied to the US dollar. Stablecoins are a popular type of crypto asset because their prices do not fluctuate like others. This makes them a trusted choice for payments, cross-border remittances, and deposits at platforms like a crypto casino online, where players can enjoy a variety of games and wagers using stablecoins.

Despite achieving success with USDC in Boston, Allaire’s Circle is joining Paxos, OpenSea, Fireblocks, and several other cryptocurrency and blockchain firms with headquarters in New York.

In a post on X (formerly Twitter), Allaire did not exactly explain why Circle chose New York. However, the CEO and co-founder said the city has “the most talent density in crypto of any city in the world.” He also said Circle feels privileged to join a growing list of crypto firms currently operating in New York.

On choosing the One World Trade Center, Allaire said the building stands for freedom and strength, and projects America’s pivotal position in the global economic system.

Interestingly, the co-founder touched on the crypto landscape in the United States, responding to complaints that the US is not the best choice for a crypto company. Expressing his disagreement, Allaire said the US is at a turning point that will position the country as a leader in the sector.

Whether or not Allaire is right, Circle’s decision to leave Boston will impact the city, which currently has no crypto startup with up to $100 million in financing. According to Dave Balter, the CEO of Boston-based blockchain data company Flipside Crypto, Circle’s move is great for the entire crypto industry as the sector “knows few geographic boundaries.”

The relocation to New York may be part of Circle’s plans for an initial public offering (IPO). In July 2021, Circle and Special Purpose Acquisition Company (SPAC) Concord Acquisition Corp announced a proposed business combination for Circle to go public. However, according to a Circle announcement, Concord did not consummate a business combination by the December 10, 2022 deadline.

According to a Reuters report, Circle confidentially filed for a US IPO in January. At the time of the SPAC deal, Circle reached a valuation of $9 billion. Unfortunately, the current valuation range is between $5 billion and $5.25 billion.

Circle is allowing some trading action in the secondary market on a case-by-case basis ahead of the planned IPO. Reports suggest that the sellers are either early-stage investors selling for liquidity, or Circle employees. Nonetheless, the reduced valuation is currently tied to the secondary market and may be different when the IPO is eventually approved by the United States Securities and Exchange Commission (SEC).