# Circle Reports $865M Q3 Revenue Driven by ARC Token Presale Success Stablecoin issuer Circle offsets declining reserve income with ARC token sales and operational restructuring. - **Source:** [Bitcoin News](https://brifing.si/source/d8aeaf1e-9839-4dad-9d25-7a6bf3fbeef8) - **Published:** 2026-11-04 - **Topic:** [Finance](https://brifing.si/c/finance) - **Original article:** - **On Brifing:** https://brifing.si/s/36c13688-4f47-4fed-b3cc-2cb99f265b89 ## Q3 Financial Performance Overview Circle reported $865 million in third-quarter revenue, marking a 17% increase compared to the previous year. Net income rose 5% to $226 million, while adjusted EBITDA surged 85% to $317 million. These results highlight a strategic shift as the company balances stablecoin operations with new, diversified digital asset revenue streams. ## ARC Token Presale Impact The company generated $182 million through an ARC token presale, which significantly bolstered its financial results. This influx helped offset an 8% decline in income from USDC reserves. Other revenue categories grew by 627% to $207 million, demonstrating Circle's aggressive efforts to reduce reliance on traditional interest-based reserve income models. ## USDC Reserve Income Pressures Reserve income fell to $658 million as the reserve return rate dropped 61 basis points to 3.5%. Despite higher average USDC circulation of $73.3 billion, which grew 8% year-over-year, the lower yield environment directly impacted profitability. This decline underscores the necessity of the company's recent pivot toward alternative crypto-based revenue sources. ## Operational Restructuring and Staffing Circle reduced its workforce by approximately 5% during the quarter to align staffing with strategic priorities. This restructuring resulted in $9.15 million in charges covering severance and employee benefits. The move reflects a broader effort to optimize the operating model while maintaining focus on core infrastructure and new blockchain network developments. ## Onchain Transaction Volume Growth USDC onchain transaction volume climbed 49% to $13.9 trillion, signaling robust utility despite market share fluctuations. The number of onchain wallet addresses holding more than $10 in USDC increased 16% to 7.3 million. However, Circle's share of the total fiat-backed stablecoin market fell 183 basis points to 27% during the period. ## Arc Network Strategic Roadmap The Arc network launched its public mainnet on September 16, accompanied by the genesis mint of 10 billion ARC tokens. The network currently supports over 100 institutional and ecosystem builders. It is designed to facilitate security, utility, and governance, with a planned transition toward a proof-of-stake consensus mechanism in 2027. ## Payments Expansion and Acquisitions Circle’s payments network reached $41.3 billion in annualized transaction volume. The company also agreed to acquire Singapore-based Tazapay, a provider handling over $25 billion in annualized volume across 100 markets. CEO Jeremy Allaire noted that institutions are increasingly integrating USDC into commercial deployments alongside partners like Visa and various enterprise providers. ## Future Revenue Sustainability Outlook While USDC remains the foundation of the business, the $182 million ARC presale highlights a new growth trajectory. Investors must now assess the repeatability of token-sale income in future quarters. Circle maintains a multi-year target to increase USDC circulation at a compound annual rate of 40% throughout various market cycles. ## Sources covering this story - [Bitcoin News — Circle Reports $865M Q3 Revenue Amid Workforce Reduction and Token Presale](https://news.bitcoin.com/stablecoins/circle-q3-revenue-865m-usdc-issuer-cuts-workforce/) - [CryptoNinjas — Circle Reports $182M ARC Token Revenue Amid $13.9T USDC Volume](https://www.cryptoninjas.net/news/circles-182m-arc-token-sale-drives-q3-growth-while-usdc-onchain-volume-hits-13-9t/) --- _Summary written by Brifing from the original reporting. Copyright in the original article belongs to its publisher; read the full piece at the link above._