Stablecoin firm Circle, the issuer of the USDC (USDC) dollar-pegged token, is reportedly mulling a delay of its initial public offering (IPO) plans amid the macroeconomic uncertainty created by the Trump administration’s trade policies.
According to The Wall Street Journal, “Circle had been nearing its next steps in going public, but is now watching anxiously before deciding what to do,” and joins a growing list of companies considering IPO delays, including fintech company Klarna and ticketing firm StubHub.
Circle filed an S-1 registration form with the United States Securities and Exchange Commission (SEC) to take the company public on April 1.
Circle’s S-1 registration form for its initial public offering. Source: SEC
The stablecoin firm is planning to sell its shares under the ticker symbol “CRCL.” Circle’s prospectus materials have not yet outlined details of the number of shares offered or the initial stock price.
Circle’s potential IPO delay comes amid turmoil in the stock market as trillions in shareholder value dissipated following US President Donald Trump’s April 2 announcement of sweeping trade tariffs and investor fears that a protracted trade war could cause a global recession.
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Trump’s protectionist trade policies crash markets
Trump’s sweeping tariff order established a 10% baseline tariff on all countries and reciprocal trade tariffs on countries that tax US imports.
Over $2 trillion was wiped away from the US stock market on April 3 as investors pivoted from risk-on assets to less volatile alternatives as a response to the growing macroeconomic uncertainty.
US stocks shed trillions in shareholder value following Trump’s sweeping tariff order. Source: TradingView
The Volatility S&P 500 Index (VIX), a measure of stock market volatility colloquially named the “Wall Street Fear Index,” is currently over 41 — an indication of extreme fear among stock market investors.
Fears of a US recession continue to mount as other countries respond to the Trump administration’s trade policies with counter-tariffs.
ARK Invest founder Cathie Wood voiced concerns over a looming recession prior to the US President officially signing the tariff order.
“We are worried about a recession. We think the velocity of money is slowing down dramatically,” Wood told an audience gathered for the Digital Asset Summit on March 18.
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