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#circle

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#FinancialTimes did a deep dive on the business model of the world's second largest #stablecoin: Circle's #USDC. It's the one that's managed by an American company and is significantly less connected to Chinese organized #crime than the other #stablecoins.

Circle, which has a very deep business relationship with #Coinbase, is trying to go public this year or next. This is their second attempt - they filed to go public ca. 2021 but ended up not doing so because... no one wanted to buy shares in a company like Circle.

I suffered through reading Circle's original SEC filing in 2021 and it made clear that a) Circle wasn't making any money and b) executive compensation was *absurdly* high... but that was in a low interest rate environment. according to #FTAV they can't even make the math work in today's high interest rate world, which surprised me.

* FT: ft.com/content/269a9260-7445-4
* no paywall: archive.ph/9gGGm

Good article in The Prospect about the coming STABLE and GENIUS acts, which will give an implicit bail out guarantee to crypto money laundering firms - sorry, i mean "stablecoins" - like #Tether and #Circle (#Coinbase). One of the two would also let #ElonMusk print his own dollars.

Senate #Democrats like #KirstenGillibrand, #ElissaSlotkin, and #RubenGallego, whose election campaigns were supported by incredible amounts of crypto money, will probably make sure these bills become laws (because they are corrupt).

Note that stablecoins are currently incredibly profitable businesses. After all a stablecoin is basically a bank where you spend nothing on anti-money laundering & other regulations, refuse to assist customers who have been scammed, and collect 5% interest from the US government while passing absolutely none of it on to your customers.

prospect.org/power/2025-03-10-

#crypto#senate#uspol