The operator of the cryptocurrency exchange Poloniex, the investment application Circle Invest and the developer of the stablecoin USDC Boston startup Circle could lose more than $ 2 billion of capitalization in the last nine months, The Block reports.
At the moment, private stocks of the company on the SharesPost platform are trading at $ 3.80. It is not yet known how many shares are offered at this price and whether successful transactions have been made.
In May 2018, Circle's share price was $ 16.23 with a capitalization of $ 3.01 billion. If the current SharesPost quotes reflect the real situation, then the company's value fluctuates around $ 705 million.
Sources of publication in one of the hedge funds stressed that this could be the result of a number of acquisitions in combination with a bear market.
Other market players noted that Circle Trade's OTC-service provides most of the company's revenues, in which the trading volume in 2018 reached $ 24 billion. The focus on prop-trading, they say, complicates the company's objective assessment at this stage.