Company: CRCL
Filing Date: 2025-06-02
Form Type: S-1/A
Source: 0001193125-25-132755
Chunk: 133

Company: Circle Internet Group, Inc.
Filing Date: 2025-06-02
Form: S-1/A
Chunk 133
---
 | $    |             59,976 |   |     | $    |  32,419 |   |     | $    |                  43,857 |   |     | $    |   24,412 |   |     | $    |   44,554 |   |

90

All Circle stablecoins minted and outstanding are backed by at least an equivalent amount of fiat currency-denominated reserve assets that are held in accounts that are titled FBO holders of Circle stablecoins with leading financial institutions. Laws, regulations, and our operating policies are designed to ensure the capital preservation and liquidity of these reserve assets. During the periods presented, prior to January 2023, USDC reserves were limited to cash balances held at banks, U.S. Treasury securities with maturities of 100 days or less, and the Circle Reserve Fund. Since January 2023, USDC reserves have been limited to cash balances held at banks and the Circle Reserve Fund. See “—Liquidity and capital resources—Composition of USDC reserves” for additional information regarding the Circle Reserve Fund. Circle earns reserve income on reserve assets, historically at rates at a discount to the prevailing SOFR during the applicable periods. We term the rate of return generated on assets held in reserve as the “reserve return rate.” See “—Key operating and financial indicators” for the calculation of reserve return rate. Reserve income is a function of the amount of reserve assets and the reserve return rate. Reserve income comprised between 95% and 99% of our total revenue in the years ended December 31, 2024, 2023, and 2022 and in the three months ended March 31, 2025 and 2024.

| Reserve Return Rate |     |                 |      |     |               |      |     |                     |      |
|                     |     | Reserve         
 Return Rate (%) |      |     | Quarterly     
 Avg. SOFR (%) |      |     | Quarterly           
 Avg. 3Mo T-Bill (%) |      |
| 1Q22                |     |                 | 0.14 |     |               | 0.09 |     |                     | 0.29 |
| 2Q22                |     |                 | 0.61 |     |               | 0.71 |     |                     | 1.04 |
| 3Q22                |     |                 | 2.06 |     |               | 2.15