Circle (CRCL) Soars Past Q3 Expectations, Poised for Programmable Money Revolution with USDC and Arc

Stablecoin issuer Circle (CRCL) has delivered a stellar third-quarter performance, significantly surpassing revenue and profit expectations. This strong showing has prompted investment bank William Blair to reaffirm its “Outperform” investment rating for the stock, signaling robust confidence in USDC’s expanding ecosystem and Circle’s pivotal role in the burgeoning programmable money landscape.

Circle’s Q3 Performance: A Resounding Success

In its financial report released on Wednesday, Circle announced impressive Q3 results. Total revenue and reserve asset income reached an impressive $740 million, marking a substantial 66% year-over-year increase. Net profit surged by 202% year-over-year to $214 million, translating to $0.64 per share.

A key highlight was the remarkable growth of USDC, Circle’s flagship stablecoin. By the end of the third quarter, USDC’s circulation volume climbed to $73.7 billion, representing an astounding 108% surge compared to the same period last year.

Circle’s Q3 performance underscores USDC’s rapid evolution into a foundational payment infrastructure. CEO Jeremy Allaire emphasized on social media platform X, “We made huge progress delivering platforms for the world’s leading startups and financial firms, and saw strong growth and market-share gains for @usdc.”

This morning we shared our Q3 results @Circle. 

We made huge progress delivering platforms for the world’s leading startups and financial firms, and saw strong growth and market-share gains for @usdc.

With @Arc, over 100 major companies are helping us design and test a new… pic.twitter.com/XSfST8x4p6

— Jeremy Allaire – jda.eth / jdallaire.sol (@jerallaire) November 12, 2025

Further financial details from the report reveal that Circle’s Q3 reserve asset interest income escalated by 60% year-over-year to $711 million, primarily driven by a 97% increase in USDC’s average circulation to $67.8 billion. Adjusted EBITDA (Earnings Before Interest, Taxes, Depreciation, and Amortization) reached $166 million, marking a 78% year-over-year rise, while adjusted operating expenses for the quarter stood at $131 million.

The company also highlighted the impressive expansion of its Circle Payments Network, which now operates in 8 countries with 29 financial institutions formally participating. Discussions are also underway with an additional 500 potential partners, indicating significant future growth. Furthermore, Circle’s tokenized money market fund, USYC, saw its Assets Under Management (AUM) hit $1 billion as of November 8.

Pioneering the Future: Arc Blockchain and Native Token Exploration

Beyond its robust financial performance, Circle is actively advancing its self-built Layer 1 public blockchain, “Arc.” To accelerate the adoption of programmable financial applications, Circle is currently “exploring the possibility of launching an Arc native token.”

The Arc public testnet, which debuted on October 28, has already attracted over 100 financial and blockchain institutions. These participants span critical sectors including capital markets, banking, payments, and digital assets. The mainnet launch is anticipated in 2026, promising to further solidify Circle’s infrastructure for the future of finance.

Analyst Confidence and Strategic Outlook: “Buy the Dip”

Circle’s outstanding Q3 results were the bedrock for William Blair’s continued “Outperform” rating. Analyst Andrew Jeffrey underscored USDC’s unparalleled scale and liquidity advantages, positioning Circle as a “core enterprise in the programmable money revolution.”

Despite a relatively subdued market reaction, primarily attributed to Circle’s elevated valuation and limited immediate catalysts, analysts are advising investors to “buy the dip” during periods of stock price weakness. Their reasoning centers on the enduring challenge for other stablecoins to rival USDC’s established scale and liquidity.

Concurrently, Circle’s management has revised its 2025 outlook upwards. Benefiting from anticipated growth in subscriptions, services, and transaction volumes, “other revenue” is now projected to reach between $90 million and $100 million, an increase from the earlier forecast of $75 million to $85 million. Andrew Jeffrey views this upward revision as a critical growth engine for Circle’s revenue diversification and overall expansion.