Circle Revenue Falls Short as USDC Stablecoin issuer misses Wall Street Estimates

Circle, the issuer of the USDC stablecoin, reported revenue of $701 million for its second fiscal quarter. This figure was slightly below Wall Street's consensus estimate of $713.32 million.

The company saw a 7% year-over-year increase in total revenue and reserve income, which rose to $668 million after increasing by 5% compared to the same period last year.

The growth was largely driven by a 25% rise in the average amount of USDC in circulation during the reporting period. Despite missing analyst expectations, Circle's shares gained 5.7% in premarket trading and traded above $66.50.

Circle is set to launch its Arc blockchain on September 16, with over 100 institutional participants and developers already signed up to join the ecosystem. The company has also revealed its initial group of validators, which includes major financial players such as BlackRock, Visa, and Mastercard.