Company: CRCL
Filing Date: 2025-02-13
Form Type: DRS/A
Source: 0000950123-25-001965
Chunk: 199

Company: Circle Internet Group, Inc.
Filing Date: 2025-02-13
Form: DRS/A
Chunk 199
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 like Bitcoin and Ethereum on third party platforms, thus better capitalizing on price volatility in the market. To serve this objective, in January 2025, we acquired Hashnote. Its primary offering, USYC, is a tokenized product that invests in reverse repurchase agreements on U.S. government and U.S. government-backed securities and short-term U.S. Treasury bills. USYC serves as an on-chain representation of the Hashnote International Short Duration Yield Fund (“SDYF”). According to RWA.xyz, USYC is the largest on-chain TMMF in terms of assets under management, with approximately $1.6 billion in assets under management as of December 31, 2024. We believe that leveraging Hashnote’s existing traction and momentum in the collateral market will enable us to enter the rapidly emerging TMMF space with a well-established tokenized stable yield product, enhancing our leading position within the overall digital asset capital markets. Reserve management standard Our reserve management standard complies with applicable regulatory requirements and supervisory guidance for stablecoin reserves. Under New York State Department of Financial Services (“NYDFS”) guidelines regarding 134

CONFIDENTIAL TREATMENT REQUESTED BY CIRCLE INTERNET GROUP, INC. PURSUANT TO 17 C.F.R. § 200.83

the issuance of stablecoins by holders of a New York virtual currency license (a
“BitLicense”), stablecoin reserves must be limited to specified assets, which include U.S. Treasury bills with maturities of three months or less, reverse repurchase agreements fully collateralized by U.S. Treasury obligations, government
money market funds, deposit accounts at U.S. state or federally chartered depository institutions and other assets acceptable to NYDFS. Under MiCAR, as an issuer of e-money tokens, among other things, we must keep at least 30% of the reserves
backing stablecoins issued by Circle Internet Financial Europe SAS in separate accounts in credit institutions and the remaining portions must only be invested in highly liquid financial instruments with minimal market risk, credit risk, and
concentration risk such as cash, assets representing claims on or guaranteed by central banks, central or regional governments, local authorities or public sector entities of the United States or an EU member state, assets issued by eligible credit
institutions, and exposures in the form of extremely high quality covered bonds that comply with MiCAR’s size, transparency, and liquidity requirements. See “—Regulatory policy landscape” for a discussion of the NYDFS guidelines
and