• Circle reported that its total revenue and reserve income reached $694M, up 20% YoY.
• USDC circulation hit $77 billion, up 28% YoY, with a $21.5 trillion onchain volume.
• The firm confirmed that it raised $222 million by selling ARC tokens to top investors at a $3 billion valuation.

Circle (CRCL) reported strong first-quarter results on Monday, driven by continued growth in its stablecoin business and expanding efforts across blockchain infrastructure and AI-powered financial services.

Circle sees revenue growth amid surge in stablecoin supply

The stablecoin issuer posted total revenue and reserve income of $694 million for the quarter, representing a 20% increase YoY. Reserve income accounted for $653 million of the total, supported by a 39% increase in average USDC circulation.

Other revenue rose to $42 million, fueled by growth in subscription services, transaction fees and infrastructure-related products. Adjusted EBITDA climbed 24% to $151 million during the quarter, while net income from continuing operations came in at $55 million, down 15% YoY due to higher stock-based compensation.

“Circle’s first quarter reflected strong execution against a much bigger opportunity: the rapid convergence of AI platforms and economic operating systems into a new internet stack,” said Circle co-founder and CEO Jeremy Allaire.

USDC circulation reached $77 billion during the quarter, up 28% from the previous year. On-chain transaction volume tied to USDC also surged 263% YoY to $21.5 trillion, reinforcing the stablecoin’s growing role across digital asset markets. The company added that USDC now accounts for approximately 63% of global stablecoin transaction volume.

The firm also reported strong growth in user activity, with wallets holding more than $10 in USDC increasing 47% from a year earlier. Minting and redemption activity remained robust throughout the quarter as adoption expanded across both retail and institutional markets.

Beyond stablecoins, Circle is pushing deeper into blockchain infrastructure and AI-enabled financial tools. The company revealed that it raised $222 million for its ARC token initiative at a $3 billion fully diluted valuation (FDV), attracting backing from major investors including a16z Crypto, Apollo Global Management, ARK Invest and BlackRock. 

Circle added that the ARC token will function as a coordination and governance asset for its Arc blockchain.

The company also launched its Agent Stack platform, introducing products such as Agent Wallets, Agent Marketplace and Circle CLI to support AI-driven USDC activity and programmable financial applications.

Jeremy Allaire said the company remains focused on building infrastructure for “AI-native economic activity and a more programmable internet financial system.”

Meanwhile, the Circle Payments Network expanded to $8.3 billion in annualized transaction volume, supported by new partnerships with Kyriba and Polymarket.

CRCL surged over 16% following the earnings report, rising to $132 at the time of writing.