Circle Internet Group, the issuer of the USDC stablecoin, reported a strong third quarter, marking a 66% revenue increase driven by growing stablecoin use and expansion across blockchain and payments networks. The company’s total revenue and reserve income climbed to $740 million, while net income rose sharply to $214 million—up 202% year-over-year—reflecting deepening adoption of USDC in global digital finance.
According to Circle’s latest report, the total USDC in circulation reached $67.8 billion, representing a 97% increase from the previous year. USDC held on Circle’s platform jumped by more than twelvefold to $10.2 billion, and the number of wallets holding over $10 in USDC rose by 77% to 6.3 million. Meanwhile, USDC minted in Q3 stood at $79.7 billion against $67.3 billion in redemptions, indicating strong transactional activity across the network.
A significant portion of Circle’s revenue stemmed from its reserves income, which reached $711 million despite a slight drop in reserve return rates. Other revenue sources—mainly from subscriptions, services, and transactions—contributed $29 million, showing rapid diversification. However, total expenses also climbed, with distribution, transaction, and other costs up 74% to $448 million, and operating expenses rising 70% to $211 million. Adjusted EBITDA came in at $166 million, demonstrating Circle’s operational efficiency despite higher expenditures.
CEO Jeremy Allaire said the results underscore Circle’s mission to build “the new economic operating system for the internet.” He noted growing enthusiasm for the company’s Arc blockchain, currently in its public testnet phase, which aims to serve as a financial application platform for both traditional and digital institutions. More than 100 companies, including banks and fintech startups, are already experimenting with Arc, and Circle confirmed that a native Arc token is under consideration to enhance network participation.
The Circle Payments Network (CPN), launched in May, has expanded into eight countries with 29 financial partners onboarded and 55 more under review. Annualised transaction volumes through CPN have already reached $3.4 billion. Circle’s ecosystem of collaborators now includes major players such as Visa, Kraken, Fireblocks, Brex, Finastra, and Deutsche Börse. The firm’s tokenized money market fund, USYC, has also seen remarkable growth—rising over 200% since June to nearly $1 billion in assets.
Looking ahead, Circle projects USDC circulation to grow about 40% annually and has raised its 2025 revenue forecast to between $90 million and $100 million. The company expects adjusted operating expenses of roughly $495–$510 million as it continues scaling partnerships and infrastructure.
Allaire’s vision remains distinct from Bitcoin’s philosophy of financial separation from state control; instead, he focuses on integrating crypto with traditional systems. “I am doing this because I literally think this is going to improve the world,” he said, emphasizing persistence through skepticism and setbacks.
Circle’s strong quarterly performance, expanding payment network, and upcoming Arc token reflect its growing role in shaping the future of digital finance infrastructure.
