Circle Posts $740M Q3 Revenue, Prepares for Stablecoin War with Arc Innovation
Circle demonstrated exceptional financial resilience, reporting nearly $740 million in revenue and reserve income during the last quarter, easily surpassing analyst forecasts. This impressive figure is primarily secured by the yield on Treasury bills backing USDC, providing a stable revenue stream that accounts for roughly 96% of the total. Valued at almost $23 billion, Circle’s strong momentum has analysts like Bernstein projecting a significant 134% surge in its share price.
This financial buffer is crucial as the competitive landscape intensifies. The US "Genius Act," signed in July, clarified stablecoin regulations, effectively inviting major financial players into the digital dollar market. Banks and institutions, including Bank of America, Revolut, and Société Générale, are now vying for market share. In response, Circle is strategically focusing on the Arc Network, its optimized Layer 1 blockchain, and the possibility of a new native token, ensuring its technology remains the most compliant and appealing infrastructure for institutional adoption against a backdrop of escalating rivalry.
