Company: CRCL
Filing Date: 2025-08-12
Form Type: S-1
Source: 0001193125-25-178989
Chunk: 355

Company: Circle Internet Group, Inc.
Filing Date: 2025-08-12
Form: S-1
Chunk 355
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 as of June 30, 2024 (1)                         |     | $ | 70,822 |   |

| (1) | Excludes $9.0million of strategic investments not accounted for under the measurement alternative as of June 30, 2024. |

| 9. | Derivatives and embedded derivatives |

The Company enters into certain strategic investments in the form of forward contracts to purchase a specified quantity of digital assets. Certain of these contracts are accounted for as derivatives or investments with embedded derivatives, and accounts for these derivatives and embedded derivatives within Investmentson the unaudited Condensed Consolidated Balance Sheets. The derivatives and bifurcated embedded derivatives are marked to market through Other (expense) income, netin the unaudited Condensed Consolidated Statements of Operations. Embedded derivatives are presented together with the respective host contract on the unaudited Condensed Consolidated Balance Sheets.

The fair value of the Company’s derivatives and embedded derivatives are as follows (in thousands):

| Table 9.1. Fair Value of Derivative and Embedded Derivative Assets and Liabilities |     |   | June 30,2025 |     |   | December 31,2024 |
|:-----------------------------------------------------------------------------------|:----|:--|-------------:|:----|:--|-----------------:|
| Investments – embedded derivatives                                                 |     | $ |        3,559 |     | $ |            8,982 |
| Investments – derivatives                                                          |     | $ |          164 |     | $ |              350 |

The following table summarizes notional amounts related to derivatives and embedded derivatives (in thousands):

| Table 9.2. Notional Amounts of Derivative and Embedded Derivative Assets and Liabilities |     |   | June 30,2025 |     |   | December 31,2024 |
|:-----------------------------------------------------------------------------------------|:----|:--|-------------:|:----|:--|-----------------:|
| Investments – embedded derivatives                                                       |     | $ |        1,223 |     | $ |              791 |
| Investments – derivatives                                                                |     | $ |          353 |     | $ |              384 |

Gains (losses) on derivatives and embedded derivatives are as follows (in thousands):

| Table 9.3. Gains (losses) on Derivatives and Embedded Derivatives        |     | Three months endedJune 30, 
 2025                       |       |