Arca was one of the earliest crypto investment firms to back Circle, Arca chief investment officer Jeff Dorman wrote in the letter.
Circle is facing criticism from Jeff Dorman, chief investment officer at digital asset investment firm Arca, over a $135,000 allocation to Arca during the stablecoin issuer’s recent initial public offering.
In an open letter posted to social media, Dorman accused Circle and its leadership of poor judgment, calling the allocation “inappropriate” and announcing the closing of all Arca’s accounts with Circle.
According to Dorman’s post, Arca was granted only a $135,000 participation in its $10 million order on the offering. Dorman said Arca was one of the first entities to make an offer. The executive said the firm is one of Circle’s earliest backers and held steady even amid rumors of Circle delaying its IPO plans due to the macroeconomic shock of tariffs. The letter read:
“Most of Arca’s management team left Wall Street eight years ago to start a crypto-native company specifically to get away from TradFi clowns like you. Ironically, you’ve come full Circle,” the letter continued.
