Circle, the Stablecoin Issuer, to Shift Legal Operations to the US, Abandoning Ireland Base

Circle, a stablecoin issuer, has announced its plans to move its legal operations from Ireland to the United States. The company recently filed court paperwork to re-domicile, following its submission of plans for an initial public offering (IPO) to the US securities regulator earlier this year. Circle stated that the IPO will take place after the completion of the Securities and Exchange Commission’s review process, subject to market and other conditions. Circle’s decision to relocate to the US means that it may face a higher tax burden, as companies typically choose Ireland for its business-friendly environment and low tax rate. However, Circle’s move aligns with its core business of issuing and managing USDC, a stablecoin tied to the US dollar. As of May 2024, USDC has a market cap of over $32 billion. Circle’s IPO plans come after a failed attempt in 2021 to go public through a special purpose acquisition company merger. The company also announced its intention to introduce USDC on the Celo network, a Layer-1 blockchain that is transitioning into an Ethereum Layer-2 scaling network. This collaboration aims to tap into Celo’s mobile-centric user community in areas with high blockchain adoption rates.