USDC redemptions just outpaced mints by $4B, but a massive new token presale is quietly doubling Circle’s revenue outlook
Circle’s Q2 reserve business faced heavier redemption pressure, with gross USDC redemptions about $87 billion versus $83 billion minted, leaving a roughly $4 billion net outflow in customer flows. Even so, reserve income still rose 5% year over year to $667.7 million because the average USDC balance was larger. USDC circulation ended the quarter at $73.3 billion, up 19% from a year earlier. Reserve yield fell 66 basis points year over year to 3.5%. Outside reserves, other revenue remained much smaller but grew 41% to about $34 million. The bigger story was guidance: Circle doubled the midpoint of its full-year other revenue outlook to $320 million, citing stronger subscription and services revenue plus an undisclosed contribution from ARC Token presale revenue. Arc’s public mainnet is scheduled for Sept. 16.
