- Circle reported $701 million in Q2 revenue, missing expectations despite strong USDC transaction growth and higher reserve income.
- The company confirmed Arc’s public mainnet launch for Sept. 16 and unveiled major financial institutions as founding validators.
- Circle received OCC trust bank approval, raised full-year revenue guidance and said USDC handled nearly 70% of stablecoin transaction volume in June.
Circle reported second-quarter results showing revenue below Wall Street expectations while announcing major infrastructure and regulatory developments. According to Circle, the company set Sept. 16 for the Arc mainnet launch, received federal trust bank approval from the Office of the Comptroller of the Currency, and said USDC captured nearly 70% of stablecoin transaction volume in June, citing Visa Onchain Analytics.
Revenue Misses Estimates as USDC Activity Grows
Circle reported $701 million in total revenue and reserve income during the second quarter. That marked a 7% increase from a year earlier but missed analyst expectations. Reserve income reached $668 million, rising 5% year over year. Meanwhile, other revenue climbed 41% to $34 million.
Net income from continuing operations totaled $48 million, while adjusted EBITDA increased 8% to $143 million. According to CEO Jeremy Allaire, lower interest rates and slower crypto market activity affected quarterly revenue.
However, USDC continued expanding across blockchain networks. Circle said on-chain USDC transaction volume surged 151% year over year to $14.8 trillion.
USDC circulation reached $73.3 billion at quarter-end. Although that figure declined from the first quarter, it remained 19% higher than a year earlier.
Arc Mainnet Scheduled for September
Alongside its earnings, Circle confirmed Arc’s public mainnet will launch on Sept. 16. The company also disclosed its founding validator group.
According to Circle, BlackRock, DTCC, Galaxy, Global Payments, ICE, Mastercard, MoneyGram, SBI Group, Standard Chartered, Sumitomo Corporation, and Visa will participate as founding validators.
Meanwhile, Circle renewed its distribution agreement with Coinbase under existing terms. The company also announced a shared-revenue arrangement with Hyperliquid.
Guidance Rises After Key Approvals
Circle increased its full-year 2026 guidance for other revenue to between $310 million and $330 million. Management said the increase mainly reflects recognition of revenue from the Arc token presale.
The company also received final approval from the OCC to establish Circle National Trust. According to Circle, it became one of the first stablecoin issuers to secure a federal trust bank charter.
Additionally, Circle said its payments network reached approximately $15 billion in annualized transaction volume at quarter-end. Management added that figure increased to roughly $23 billion by July 31.
