Circle targets the $20 trillion global payments market…"USDC will replace fiat currency"

U.S. investment bank William Blair gave a positive assessment of stablecoin issuer Circle Internet Group. The report analyzed that Circle's USDC is likely to replace fiat currency in the future global payments market.

On the 14th (local time), William Blair assigned an 'outperform' rating to Circle stock (CRCL) in a report, stating, "stablecoins have entered the commercialization phase." The report defined USDC as "a core infrastructure for cross-border payments" and projected that if regulatory clarity and payment infrastructure expansion combine, it could replace fiat currency in the roughly $20 trillion global trade and remittance market.

The firm especially viewed Circle's new infrastructures under development, 'Arc' and the 'Circle Payments Network', as key future revenue drivers. These projects are a dedicated blockchain and payment network for stablecoin finance, and the report analyzed that, if commercialized, they have the potential to generate billions of dollars in transaction revenue.

Another investment bank, Bernstein, presented a similar view in a report. Bernstein estimated that USDC supply could reach $220 billion by 2027, about three times the current level, and account for one-third of the total stablecoin market. The firm cited Circle's high level of regulatory compliance, liquidity, and connectivity with major payment networks such as Coinbase, Binance, and Fiserv as growth factors.

William Blair also said in a separate white paper that "stablecoins can cut international payment costs by up to 90 percent," calling them "the biggest area of value innovation in the virtual asset industry." The firm identified Circle as "a key company to lead the digital cash infrastructure in the internet finance era."

Since Circle listed on Nasdaq last June, its stock is currently trading around $134.36, and in the early days after listing—immediately after the passage of the stablecoin regulatory bill, the 'GENIUS Act'—it approached $300. William Blair also maintained Coinbase at an 'outperform' rating and added, "the expansion of USDC's commercial payments will drive Coinbase's long-term growth."