Shares of Circle Internet, the issuer of the second-largest stablecoin USDC, rose over 20% on Wednesday after publishing excellent financial results for the fourth quarter of 2025. The company reported a jump in net income from continuing operations to $133.4 million, representing a more than thirtyfold increase compared to $4.4 million a year earlier. Total revenue grew 77% to $770 million, exceeding analyst expectations. The circulation of the USDC token increased by 72% to $75.3 billion, driving revenue from reserves. The results came during a general downturn in the cryptocurrency market, which analysts say favors stable tokens.

Sharp Surge in Profit and Revenue

Circle reported net income of $133.4 million in Q4 2025, a huge jump from $4.4 million a year earlier. Total revenue grew 77% to $770 million, exceeding analyst forecasts of $747 million. Earnings per share were 43 cents, while 16 cents were expected.

Growth in USDC Stablecoin Circulation

The value of the USDC stablecoin in circulation grew by 72% compared to the previous year and stood at $75.3 billion at the end of 2025. This growth is a key source of the company's revenue, which it generates from interest on reserves, primarily U.S. Treasury securities. The return on reserves in the quarter was 3.8%.

Strong Stock Market Reaction

Shares of Circle Internet (CRCL) surged over 20% on Wednesday morning, after an earlier gain of about 16% in pre-market trading. This jump followed a prolonged downturn, as the stock had fallen about 70-80% from its peak reached after its high-profile market debut in June 2025.

Impact of Market and Regulatory Environment

Analysts indicate that Circle benefits from increased volatility in the cryptocurrency market, when investors liquidate other tokens and move to stable USDC. Furthermore, a favorable regulatory environment, including the U.S. GENIUS Act signed by President Donald Trump, is expected to favor broader adoption of stablecoins.

Circle Internet, the issuer of the second-largest stablecoin USDC, reported spectacular financial results for the fourth quarter of 2025, driving a sharp rise in its stock price. Net income from continuing operations amounted to $133.4 million, representing a huge, more than thirtyfold increase compared to just $4.4 million a year earlier. The company's total revenue grew 77% to $770 million, surpassing the analyst consensus of $747 million. Earnings per share also positively surprised, reaching 43 cents against the expected 16 cents. The key factor driving these results was the rapid growth in circulation of the company's flagship product – the USDC stablecoin. Its value in circulation increased by 72% compared to the previous year and stood at $75.3 billion at the end of December 2025. The company generates revenue by investing the funds held in reserves backing USDC's value, primarily in safe U.S. Treasury securities. The return on these reserves in the last quarter was 3.8%. As noted by Citigroup analyst Peter Christiansen, Circle typically benefits from increased volatility in the cryptocurrency market, when investors flee riskier tokens for stable assets like USDC. 133,4 mln USD — Circle's net profit in Q4 2025 The strong results caused an immediate and significant market reaction. The company's shares (ticker CRCL) rose over 20% on Wednesday, after an earlier gain of about 16% in pre-market trading. This jump occurred against a backdrop of a prolonged downturn, as Circle's stock had lost 70% to 80% of its value from its peak following its high-profile stock market debut in June 2025. The current rebound shows how investors have appreciated the resilience of the stablecoin-based business model during a general sell-off in the cryptocurrency market.Stablecoins, as a class of digital assets, have gained significance post-2020, offering price stability in a volatile cryptocurrency ecosystem. Their development is closely tied to the evolution of regulations worldwide, which seek to provide them with legal frameworks similar to traditional financial instruments.The regulatory environment is also starting to favor the industry. Reuters mentions the GENIUS Act, signed in 2025 by then-U.S. President Donald Trump, which establishes a federal legal framework for dollar-pegged stablecoins. This, along with similar actions by regulators worldwide, is expected to pave the way for broader adoption of these digital assets and directly benefit issuers like Circle. However, the company is not resting on its laurels and is investing in projects aimed at diversifying revenue sources, which is seen as key to its development in 2026.

Mentioned People

  • Peter Christiansen — Citigroup analyst commenting on Circle's results and the link between market volatility and demand for USDC.
  • Donald Trump — Former President of the United States who signed the GENIUS Act establishing a legal framework for stablecoins.