Circle’s Q4 revenue and reserve income jumps 77%... circulating supply up 72%

Circle, the issuer of the U.S. dollar stablecoin USDC, reported that its revenue and income from reserve management in the fourth quarter of last year rose by nearly 80% from a year earlier.

Circle said on the 25th (local time) that total revenue and reserve-management income for the fourth quarter increased 77% year on year to $770 million. USDC’s circulating supply stood at $75.3 billion at the end of last year, up 72% from a year earlier. USDC on-chain transaction volume in the fourth quarter surged 247% from a year earlier to $11.9 trillion.

For the full year, total revenue and reserve-management income rose 64% from a year earlier to $2.7 billion. Net income for the year posted a $70 million loss. Circle said this reflected $424 million in stock-based compensation expenses tied to meeting vesting conditions related to its initial public offering (IPO).

Circle said adoption of USDC by major institutions is gaining momentum. According to the company, 55 financial institutions had registered for the USDC-based payment network “Circle Payments Network” as of the 20th. Another 74 institutions are undergoing eligibility review.

Circle CEO Jeremy Allaire said, “Collaboration with traditional finance, fintech and the public sector is expanding,” adding, “Circle is supporting the buildout of infrastructure for a more open and resilient global financial system.”