Stablecoin giant Circle is making a significant move by establishing a new legal base in the United States. This strategic decision is seen as a precursor to a potential Initial Public Offering (IPO).

While the exact reason for the move is unclear, some speculate that Circle may be seeking to maximize tax advantages, potentially driven by the higher corporate tax rates in the US compared to Ireland.

In January, Circle secretly filed for an IPO, submitting a draft S-1 registration statement to the US Securities and Exchange Commission (SEC). However, the company has yet to finalize the number of shares or pricing strategy, awaiting the SEC's review and market conditions.

The move to the US may also be seen as a strategic play in the ongoing stablecoin market dynamics. Circle has been critical of Tether's lack of transparency, and the US might potentially support USDC over Tether (USDT) as Circle establishes its new base.

This development is significant not only for Circle's future but also for the trajectory of the stablecoin industry as a whole.