The capital requirement for banks holding USDC has been reduced from $125 million to $10 million, a 92% decrease in risk weight. Circle's quarterly revenue is $740 million, with a profit margin of 99%.
Banks have $10 trillion in liquidity reserves, and even a 1% inflow into USDC could double the supply.
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The capital requirement for banks holding USDC has been reduced from $125 million to $10 million, a 92% decrease in risk weight. Circle's quarterly revenue is $740 million, with a profit margin of 99%.
Banks have $10 trillion in liquidity reserves, and even a 1% inflow into USDC could double the supply.
A permanent buy wall is forming.