Coinbase’s Prominent Role Highlighted in Circle’s IPO Filing

In a significant development in the cryptocurrency industry, Circle’s preliminary IPO filing has shed light on its financial performance and heavy reliance on Coinbase. Here’s a detailed look at the key takeaways from the filing.

Circle’s IPO Documents Reveal Rising Costs and Heavy Dependence on Coinbase

Circle’s preliminary IPO filing (S-1) shows revenue of $1.67 billion for 2024, up from $1.4 billion in 2023 and $772 million in 2022. However, financial performance declined with EBITDA falling by 29% to $285 million and net income dropping by 42% to $155.67 million. Analysts attribute this to high distribution and transaction costs, amounting to $1.01 billion in 2024, with Coinbase receiving the majority of these funds.

Bitcoin Volatility Spikes as U.S. Tariffs Announcement Jolts Markets

Bitcoin experienced intense volatility yesterday, surging above $88,000 before plunging below $82,000 within hours. The massive swing came as U.S. President Donald Trump announced new tariffs on what he declared “Liberation Day,” sparking fresh fear across global markets. The announcement jolted investor sentiment, sending risk assets—including Bitcoin (BTC)—into sharp intraday moves. Bulls are now panicking as selling pressure appears to be building again, raising concerns that more downside may be ahead. Despite the bearish momentum, some analysts remain optimistic.