The Trump administration has expressed strong support for cryptocurrencies – especially stablecoins – and that government friendliness is fueling serious momentum in the crypto market.
As crypto becomes more mainstream, investor confidence and adoption are rising – and that’s good news for anyone with digital assets in their portfolio.
Which is good for anyone with a stake in cryptocurrencies as part of their portfolio. After all, increased demand leads to increased valuations.
But if you’re looking for real credibility – the kind that changes how the public and Wall Street perceive crypto – Circle just delivered it.
You need to do something like what Circle Internet recently did.
Circle Internet raised $1.05 billion
Yes, that’s billion with a “b.” No stuttering on that one. Pritam Biswas and Manya Saini with Reuters report:
Circle Internet on Wednesday priced its upsized U.S. initial public offering at $31 apiece, raising $1.05 billion, adding fresh momentum to a growing pipeline of late-stage cryptocurrency firms eyeing public markets.
Circle and its shareholders sold 34 million shares at $31 apiece, valuing the company, which issues the USDC stablecoin, at roughly $8 billion on a fully diluted basis.
Eight billion dollars is a lot of money. You could even afford to eat at Chick-Fil-A daily with that kind of valuation.
Here’s the thing, though: The price of the IPO isn’t the issue. It makes the founders happy, sure.
How much they raised isn’t the issue. Yes, it was a lot, but that’s not really the point.
This isn’t the a story about a dollar amount or a startup valuation – it’s the validation of the industry itself. A billion-dollar funding round signals a huge amount of institutional confidence in both the company specifically and the crypto sector generally. It tells us a lot of people believe crypto infrastructure isn’t just a legitimate investment, but the entire sector has investors’ confidence.
To give you a little more perspective on that, Circle Internet is who is issuing the stablecoin USDC. Anthony Hughes gives us these details:
The offering comes as stablecoins, digital tokens that are often pegged to the dollar or another currency, are poised to be regulated by legislation currently in front of Congress, a development that may confer greater perceived legitimacy on them. It may also draw in competitors, with some of Wall Street’s largest banks jointly exploring whether to issue their own stablecoin, the Wall Street Journal reported last month.
Circle’s USDC had about 29% of the stablecoin market as of the end of March, according to the filing citing data from CoinMarketCap. There is about $61 billion worth of the token in circulation as of May 29, its website shows.
Of course, that all sounds incredibly exciting… and it really is.
But most people miss the bigger picture when looking at this situation and these figures.
The crypto trend that too many people overlook
Too many investors focus only on crypto prices or token trends. But Circle’s raise highlights something bigger: The infrastructure powering the entire ecosystem.
Again, that is fantastic news for those who owns cryptocurrencies. The interest in cryptocurrencies drive up valuations, and both the Trump administration’s positive inclinations towards cryptocurrencies and stablecoins have increased investors’ comfort level with crypto.
Validation leads to adoption, adoption leads to demand, and demand leads to higher prices…
But the real reason for the valuation of Circle Industries has to do with getting access to the infrastructure of the industry.
Speculative tokens may come and go (which is why we recommend investing in quality cryptocurrencies, not something that was put out there for entertainment purposes), but the infrastructure used to transact business using cryptocurrencies will stick around and continue to improve. That includes blockchain protocols, tokenization platforms, payment rails, and integrations with traditional finance – the plumbing behind crypto’s future.
It’s that ever improving infrastructure that crypto offers compared with traditional techniques and methods that will continue to draw businesses into using more and more cryptocurrencies.
It’s an upward cycle!
It’s true. Cryptocurrencies are getting more and more popular, and while you don’t want to blindly follow a fad, I believe it’s safe to say crypto isn’t a fad. Like the internet, the horseless carriage and the telegraph, crypto is a transformative technology that’s changing the world.
And the longer that it is around, the more and better uses for it people will create and have access to.
Crypto has proven long-term growth potential, increasing privacy options, and infrastructure that keeps improving. What’s not to like?
What’s not to like about it?
And Circle Internet’s valuation just helps to increase the interest and trust in crypto.
That valuation is the rising tide that is raising the boats of everyone who is already invested in cryptocurrencies. Want to get started? You can open your Digital IRA right now (anytime, day or night) – in less than 10 minutes.
Or start your due diligence on the benefits of diversifying with crypto by getting our free, no obligation Insider’s Guide to Digital IRAs.
You could start on your way to taking advantage of this potentially huge opportunity.
