Circle Considers Delaying IPO Amid Market Turmoil

Amid the implementation of new trade tariffs by US President Donald Trump and the subsequent market downturn, Circle may delay its IPO. This was reported by The Wall Street Journal.

According to WSJ, the firm has adopted a “wait-and-see” approach before taking further steps.

Circle is among several crypto companies that have announced plans to go public in the past month. Others include Gemini, Kraken, and eToro. Experts believe market uncertainty will hinder these plans.

“All of them will pull back. You cannot conduct an IPO in a market declining like it did in 2008,” noted Austin Campbell, head of payment company WSPN and adjunct professor at New York University’s School of Business, in a comment for The Block.

Experts point out that a market downturn reduces investor interest in riskier assets such as crypto company stocks. The same applies to underwriters and venture investors.

Campbell believes recent decisions by the US administration regarding tariffs are “the biggest mistake of the last century,” leading to international trade issues and potentially causing a global recession.

Previously, Borderless CEO Kevin Lehtinitty warned Circle about potentially prohibitive costs of conducting an IPO.