Crypto Fund Takes Aim at Circle IPO
The successful initial public offering of Circle Internet Group Inc. wasn’t universally celebrated. Jeff Dorman, chief investment officer of Arca, a crypto-focused asset management firm, criticized Circle on social media for allocating its shares to traditional financial firms rather than crypto-native entities.
Dorman stated that Circle represented the “exact opposite of crypto ethos” by giving “fat” allocations to TradFi firms with little interest in the cryptocurrency industry. This criticism highlights the ongoing tension between traditional finance and the crypto sector.
The Circle IPO took place on June 5, 2025, marking a significant event in the financial world. While Circle’s decision to go public was seen as a success by some, others in the crypto community felt it didn’t align with their values or support the industry’s growth.
As the cryptocurrency industry continues to evolve and intersect with traditional financial systems, such criticisms underscore the challenges companies face in balancing different stakeholder interests. The reaction to Circle’s IPO serves as a reminder of the diverse perspectives within the crypto ecosystem and the importance of understanding these dynamics.
