Rate Of Return$Circle(CRCL.US)
The standardized approach of stablecoins is both an advantage and the biggest disadvantage.
Credit institutions + bank liquidity might be the breakthrough point♥
Circle has a relatively broad development prospect in the future, and its growth will revolve around payment infrastructure, asset tokenization, and diversification of income structure, as follows:
- Payment infrastructure upgrade: The mainnet of Circle Payments Network (CPN) was launched in May 2025, supporting scenarios such as business-to-business payments and cross-border remittances. Circle plans to connect with 100 financial institutions by 2025, aiming to cover 50% of cross-border payment scenarios. In addition, CPN will also integrate with Layer 2 networks to increase transaction throughput and reduce transaction fees.
- Asset tokenization expansion: Circle is collaborating with GCL Energy to promote the tokenization of photovoltaic assets and has successfully completed the first financing project of 100 million yuan. It is estimated that by 2030, the RWA market size is expected to reach 8 trillion US dollars. In addition, Circle plans to use its Hong Kong license to issue offshore RMB stablecoins to compete for a market worth 2 trillion US dollars.
- Diversification of income structure: To reduce reliance on interest income, Circle is actively expanding diversified income sources. Tokenization projects such as photovoltaics and charging piles are expected to contribute 20 million US dollars in revenue by 2025, accounting for 3%. At the same time, Circle has launched subscription services for institutional clients, providing payment, compliance, and risk management solutions.
- Global market expansion: Circle is accelerating its layout in emerging markets, initially connecting with payment companies such as Alfred and Tazapay, and plans to expand to 12 markets including Nigeria and India within the year. By collaborating with local financial institutions, Circle can quickly expand its global influence and seize growth opportunities in emerging markets.
Circle also faces some challenges, such as the potential impact of declining US bond interest rates on its reserve income and competition from other stablecoins and financial institutions.
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