Group 1 - Circle Internet Group's shares are down 9.1% following a critical report on stablecoins from the Bank for International Settlements (BIS) [1][2] - The BIS report questions the effectiveness of stablecoins, suggesting they do not meet key requirements for a stable monetary system [2][3] - Circle has a market cap of nearly $60 billion and reported sales of $1.7 billion last year, indicating significant growth expectations already priced into the stock [3] Group 2 - Circle's revenue is highly sensitive to interest rate changes, with potential impacts of up to 10% on the bottom line for each 0.25% cut in rates by the Federal Reserve [4] - Approximately 50% of Circle's revenue is dependent on Coinbase, making Circle's financial performance closely linked to Coinbase's USDC holdings [6]
Why Circle Internet Stock Is Plummeting Today