USDC Issuer Circle Rakes in Explosive H1 Revenue: Bloomberg

Godfrey Benjamin
August 10, 2023
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Circle’s USDC Dominance Could Be Bearish for Crypto Market, Here’s Why

Web3.0 startup and stablecoin issuer, Circle has reported a better-than-expected financial performance for the first half of the year. 

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The Circle Revenue Boost

Per a report from Bloomberg as propagated by Circle CEO, Jeremy Allaire, the company raked in a total of $779 million in the first half of this year. These massive revenue figures account for more than the $772 million the company recorded for the entirety of the 2022 financial year.

For the current year, Allaire confirmed that Circle also reaped the sum of $219 million in adjusted earnings before interest, taxes, depreciation, and amortization in the first half. Bogus as these figures may sound, it notably outpaced the $150 million it recorded as profit for all of last year. 

One major highlight of the report is its available cash flow and adherence to transparency at a time when the competition facing stablecoins remains on a major rise across the board. Per its performance, Circle was revealed to maintain more than $1 billion in cash on its balance sheet as of June this year.

The solid balance sheet includes a robust reserve update for its stablecoin, the USDC. While USDC has lost a portion of its valuation over the past year, its market capitalization is currently pegged at $26.18 billion, a sum that has helped it retain its place amongst the top 6 digital currencies.

The past year and especially the time falling between January and to date has been filled with a lot of regulatory scrutiny especially as it concerns stablecoins. While Circle has not been directly hit, investors are largely exercising more caution with alternative stablecoin, thus reducing liquidity from Circle to an extent.

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Circle and the Growing Competition

While Circle is already profitable, the growth pace might slow down in the remaining part of the second half of the year owing to the emergence of new players like PayPal which launched its stablecoin, PYUSD recently.

Per the report, the cash at hand Circle boasted, which is pegged at $1 billion, is designated to help the firm fight the competition across the board.

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Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
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Why Trust CoinGape

CoinGape has covered the cryptocurrency industry since 2017, aiming to provide informative insights Read more…to our readers. Our journal analysts bring years of experience in market analysis and blockchain technology to ensure factual accuracy and balanced reporting. By following our Editorial Policy, our writers verify every source, fact-check each story, rely on reputable sources, and attribute quotes and media correctly. We also follow a rigorous Review Methodology when evaluating exchanges and tools. From emerging blockchain projects and coin launches to industry events and technical developments, we cover all facets of the digital asset space with unwavering commitment to timely, relevant information.

About Author
About Author
Benjamin Godfrey is a blockchain enthusiast and journalists who relish writing about the real life applications of blockchain technology and innovations to drive general acceptance and worldwide integration of the emerging technology. His desires to educate people about cryptocurrencies inspires his contributions to renowned blockchain based media and sites. Benjamin Godfrey is a lover of sports and agriculture. Follow him on X, Linkedin
Investment disclaimer: The content reflects the author’s personal views and current market conditions. Please conduct your own research before investing in cryptocurrencies, as neither the author nor the publication is responsible for any financial losses.
Ad Disclosure: This site may feature sponsored content and affiliate links. All advertisements are clearly labeled, and ad partners have no influence over our editorial content.