Circle shares fall 5% after mixed Q2 earnings beat

Shares of Circle Internet Group fell 5% on Friday, August 7, as the stablecoin issuer's stock reversed earlier gains following the release of mixed second-quarter financial results. The company reported earnings that exceeded analyst expectations but revenue that fell short, while also providing updates on its upcoming blockchain network and regulatory approvals.

For the quarter ending June 30, 2026, Circle posted adjusted earnings per share of $0.18, surpassing the consensus estimate of $0.16. Revenue and reserve income totaled $701 million, a 7% year-over-year increase but below analyst forecasts, which ranged between $712 million and $717 million. Net income from continuing operations was $48 million, exceeding estimates and marking a significant improvement from the same period last year.

The company's dollar-backed stablecoin, USDC, saw its circulation reach $73.3 billion at the end of June, representing a 19% increase from a year earlier. However, this figure was down from a peak of nearly $80 billion reached earlier in 2026. On-chain transaction volume for USDC surged 151% year-over-year to $14.8 trillion during the quarter. The Circle Payments Network recorded an...