stable coins
By Maheen Hernandez
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What the Revenue Split Actually Means. Think about what reserve income looks like at scale. Stablecoins backed by U.S.
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Pressure on Circle's Margins. Circle's margins are already under scrutiny. The company went public and operates in a competitive…
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What the Stablecoin Market Watches Next. The broader stablecoin sector has been consolidating around a handful of major players.
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A new stablecoin consortium is coming for Circle's lunch. Open USD plans to launch in 2026 with a revenue-sharing model that flips the traditional stablecoin playbook — instead…
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The core idea is pretty simple, and that's what makes it interesting. Most stablecoin issuers — Circle included — park user deposits into short-term Treasuries or money market…
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Think about what reserve income looks like at scale. Stablecoins backed by U.S. Treasuries generate yield on every dollar sitting in reserve.
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It's a clever wedge. Partners — banks, fintechs, payment processors, exchanges — currently integrate USDC because it's liquid, trusted, and widely supported.
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Whether the consortium can actually execute on this at scale is unclear. No specific yield percentages have been shared publicly, and the structure of the revenue split among…
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Circle's margins are already under scrutiny. The company went public and operates in a competitive market where Tether still dominates globally by market cap.
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See also: Hyperliquid Joins Circle and Coinbase in a Deal That Squeezes USDCs Revenue Model
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And that's probably the smarter play. Don't compete on trust or liquidity on day one. Compete on economics. Let partners do the math.
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Circle hasn't responded publicly to Open USD's plans. That silence could mean a lot of things — maybe it's not worried, maybe it's watching, maybe it's already rethinking parts…
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Other stablecoin issuers are probably watching the Open USD model closely. If it gains traction, there's a real chance it forces a wider conversation about how reserve income…
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Read also: Mizuho Keeps Circle at Neutral as USDC Loses Ground to Stablecoin Rivals
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The consortium hasn't disclosed which specific partners are already on board, or how many. That's a gap.
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