Company: CRCL
Filing Date: 2025-02-13
Form Type: DRS/A
Source: 0000950123-25-001965
Chunk: 309

Company: Circle Internet Group, Inc.
Filing Date: 2025-02-13
Form: DRS/A
Chunk 309
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.5 years |

There was no impairment recorded for intangible assets for the year ended December 31, 2023 and 2022. Revenue recognition The Company determines revenue recognition from contracts with customers through the following steps:

| • |     | identification of the contract, or contracts, with the customer, |

| • |     | identification of the performance obligations in the contract, |

| • |     | determination of the transaction price, |

| • |     | allocation of the transaction price to the performance obligations in the contract, and |

| • |     | recognition of the revenue when, or as, the Company satisfies a performance obligation. |

Revenue from contracts with customers is recognized when, or as, the Company satisfies its performance obligations by transferring promised goods or services to customers. A good or service is transferred to a customer when, or as, the customer obtains control of that good or service. A performance obligation may be satisfied over time or at a point in time. Revenue from a performance obligation satisfied at a point in time is recognized at the point in time that the Company determines the customer obtains control over the promised good or service. The amount of revenue recognized reflects the consideration to which the Company expects to be entitled in exchange for those promised goods or services. The Company recognizes revenue from contracts with customers in accordance with ASC 606, Revenue from Contracts with Customers (“ASC 606”), as the Company satisfies its obligation to customers. Services within the scope of ASC 606 include Transaction and Other revenue. Reserve income, Treasury services income relating to Circle stablecoin lending services and Other interest income are outside the scope of ASC 606. See Note 11 — Revenue recognitionfor further detail. Distribution arrangement The Company has entered into a distribution arrangement with a digital asset exchange. Prior to August 2023, a portion of the reserve income earned on fiat denominated assets held in reserve accounts was paid to the digital asset exchange. These payments reflected revenue generated from USDC reserves pro rata based on (i) the amount of USDC distributed by each respective party and (ii) the amount of USDC held on each respective party’s platform (i.e., held in its customers’ accounts) in relation to the total amount of USDC in circulation. In August 2023, the Company terminated this distribution arrangement and entered into a collaboration arrangement with the digital asset exchange. Pursuant to the collaboration arrangement, the Company makes payments (after deducting certain amounts related to USDC issuance and management) based on (i) the amount of US