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Stablecoins

Circle Internet Group

NYSE: CRCL

Circle doesn't sell you a token. It sells you the promise that the token behind it is boring, audited, and always worth exactly one dollar.

Ticker
CRCL · NYSE
CEO
Jeremy Allaire
Value chains
Stablecoins

Last verified: Jul 3, 2026

Who they are

Circle is the company behind USDC, the second-largest dollar stablecoin after Tether’s USDT and the one most closely associated with US regulatory compliance. Where Tether built its empire offshore and largely out of public view, Circle did the opposite: it went public on the NYSE in mid-2025, publishes regular reserve reports, and has positioned itself as the “institutional-grade” choice for banks, fintechs, and anyone who wants stablecoin exposure without the reputational baggage.

That positioning paid off — Circle’s IPO was one of the standout debuts of 2025, and the passage of the US GENIUS Act (which created a federal framework for who can issue stablecoins) gave Circle’s regulated model a tailwind few competitors enjoyed.

What they actually do

Issue USDC and earn interest on the reserves behind it. This is, overwhelmingly, the business. Circle holds the dollars backing every USDC in short-term US Treasuries and cash, and keeps the interest — north of 90% of total revenue comes from this single line item.

Build payment rails on top. The Circle Payments Network (CPN) is Circle’s attempt to become the plumbing that moves USDC between banks and platforms directly, rather than relying entirely on outside exchanges and wallets to distribute it. A new “Arc” blockchain project extends this further, aiming to give Circle transaction-fee revenue that doesn’t depend on interest rates.

Diversify away from rate dependency — slowly. Management has been explicit that “other revenue” (subscriptions, services, transaction fees) needs to grow, because a business that’s over 90% dependent on short-term interest rates is a business at the mercy of the Federal Reserve.

How they make money

Reserve interest income (the overwhelming majority) plus a small but growing slice of subscription, services, and network fees.

Where it sits in the value chain

Reserves Cash + short-term Treasuries USDC issuance ~$77B in circulation Distribution Coinbase, exchanges, DeFi Reserve interest ~94% of total revenue
The thick line is where nearly all the money comes from — not from anyone using USDC, but from the Treasuries sitting behind it.

The bigger trend it’s riding

Circle rode the GENIUS Act’s regulatory clarity to become the poster child of “compliant crypto.” But 2026 has also shown the flip side of building on a single revenue engine: on July 1, a consortium of Visa, Mastercard, and Stripe launched a competing stablecoin, and Circle’s stock dropped sharply the same day. The threat isn’t abstract — those three companies own the card networks and merchant rails Circle needs to keep growing USDC’s reach, which is exactly the kind of distribution advantage Circle doesn’t have on its own.

What to watch (not what to do)

What to watch (not what to do)

  • Interest rate exposure. Circle's revenue is a function of USDC circulation times short-term interest rates. If the Fed cuts rates meaningfully, revenue can shrink even as USDC keeps growing.
  • The Visa/Mastercard/Stripe stablecoin. This is the newest and most direct competitive threat Circle has faced — it comes from companies that control payment rails Circle doesn't own.
  • Progress on non-interest revenue. Watch whether CPN and Arc actually convert into meaningful transaction-fee income, or stay a small side project next to the reserve-interest core.

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This page presents market data and educational analysis only. It does not constitute investment advice, a recommendation, or a solicitation to buy or sell any asset. Company figures, contracts, and plans are described as of mid-2026 and change frequently — verify current details before relying on them. Past performance does not guarantee future results.