Analysts estimate that Circle earned approximately $625 million in gross interest income from its USDC reserves in the second quarter, of which $332.5 million was paid to Coinbase. “Given Circle’s con

CoinFeed reported on August 2nd that according to The Block, after Coinbase released its second-quarter financial report, analysts at Mizuho Securities in Japan reiterated their view that the share price of USDC issuer Circle will eventually fall. This is because they believe that the profit margins of the recently listed stablecoin issuer may continue to decline due to rising distribution costs. Analysts estimate that Circle earned approximately $625 million in gross interest income from its USDC reserves in the second quarter, of which $332.5 million was paid to Coinbase. “Given Circle’s continued expansion of distribution partners beyond Coinbase, this could mean further pressure on its net reserve revenue margin as spending from other distribution partners (e.g., Binance) increases,” Mizuho analysts wrote in a note to clients.