Arthur Hayes: New Stablecoin IPOs Are Like a Hot Potato

According to a report by Jinse Finance, Arthur Hayes warned in an article published on Monday that a new wave of stablecoin companies is attempting to emulate Circle’s successful IPO, but most will be overvalued and may fail due to locked distribution channels. He pointed out that viable distribution channels are limited to cryptocurrency exchanges, Web2 social media giants, and traditional banks, making it difficult for new entrants to access these channels. Hayes believes that Circle (CRCL) is currently “overvalued,” but its price may still continue to rise. He also cautioned investors against shorting these new stocks, as pro-crypto sentiment in the US and the “stablecoin frenzy” narrative could drive prices higher.