Circle Stock Climbs 7% Monday as OUSD Launch Threatens 96% of Revenue Model

According to Bitcoin.com News, Circle's stock (CRCL) rebounded 7% on Monday, climbing from an opening price of around $64 to peak at $69.52, as investor panic following the announcement of Open USD's launch subsided. The prior trading session saw a 17% plunge after a consortium of over 140 companies—including Visa, Mastercard, Stripe, Google, and BlackRock—announced the development of Open USD.

Circle's business model depends on reserve interest earned on the cash and Treasuries backing USDC, with approximately 96% of revenue derived from this source. Open USD plans to eliminate minting and redemption fees and route nearly all reserve income back to consortium partners, directly threatening Circle's core revenue stream. Regulators are set to release final rules on July 18 that will determine whether Open USD can legally pay yield to participants by 2027.