Circle’s USDC Distribution Exceeds Revenue in IPO Filing

Circle revealed its 2023 financial performance in an IPO filing, highlighting a significant revenue gap between its business operations and its distribution partner, Coinbase. Despite co-launching USDC in 2018, Coinbase’s role as the distributor of USDC is generating considerably higher returns. Circle paid $908 million to Coinbase for distributing USDC last year, representing their largest expense. This reveals a stark contrast in profit margins between the two entities.