Circle (CRCL) shares are in focus on Monday after the company’s chief executive Jeremy Allaire said stablecoins will soon have their long-awaited “iPhone moment.”
Allaire believes stablecoins will fully capture developers’ interests in the not-so distant future – unlocking momentum and long-term potential for investors.
Note that Circle shares are currently trading for roughly five times their initial public offering (IPO) price.
Why Are Allaire’s Remarks Significant for Circle Stock?
In his latest X post, Jeremy Allaire called stablecoins the “highest utility form of money ever created” – a sentiment that aligns with the broader narrative behind increasing adoption.
According to a16z Crypto’s Daren Matsuoka, stablecoins have seen transaction volume hitting $33 trillion over the past 12 months (more than PayPal (PYPL) and Visa (V) combined). Matsuoka wrote “stablecoins now present what I believe is the first credible opportunity to onboard a billion people into crypto.”
This real-world usage underscores the growing utility and demand for stablecoins, which positions CRCL shares to benefit significantly since the NYSE-listed firm is the issuer of stablecoin USDC.
Shopify’s (SHOP) plans of integrating Circle’s USDC for payments by the end of this year provides tangible evidence of mainstream adoption – it’s a significant partnership and potential revenue stream for CRCL.
Investors should note that continued integration of stablecoins in everyday e-commerce and large enterprises will increase demand for USDC, which may translate to improved financials and an increase in the Circle stock price over time.
Are CRCL Shares Worth Owning in the Second Half of 2025?
While the future looks bright for CRCL shares, valuation concerns indicate they may still be a high-risk investment for the back half of 2025.
The Circle stock price sits comfortably above $150 at the time of writing – versus its IPO price of just $31. So, the cosmic run in the fintech may already be pricing in a significant amount of future growth and dominance.
Finally, rising competition could also prove a major concern for CRCL shares.
Retail behemoths like Amazon (AMZN) and Walmart (WMT) are already exploring plans of launching their own U.S. dollar-backed stablecoins, which could dilute Circle’s market share over time as well.
Given the crypto company has went public fairly recently, Wall Street analysts haven’t yet started covering Cricle stock.
On the date of publication, Wajeeh Khan did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
