Bitwise's head of research Ryan Rasmussen argues that Circle, the issuer behind the USDC stablecoin, is being significantly undervalued by the market as the broader stablecoin sector marches toward trillions of dollars in scale and the company expands its payments infrastructure.
A Bullish Case for Circle
Rasmussen contends that many investors are misjudging Circle's long-term potential, focusing on short-term metrics rather than the company's positioning within a rapidly growing industry. As demand for dollar-pegged digital tokens accelerates, he believes Circle stands to benefit from being one of the most established and regulated players in the space.
The Bitwise researcher points to the expansion of stablecoins as a foundational shift in how money moves across the globe. USDC, Circle's flagship product, remains one of the largest stablecoins by market capitalization and is widely used across crypto trading, decentralized finance and increasingly in payments.
"Circle is mispriced," Rasmussen suggests, betting that the stablecoin boom will ultimately vindicate the company's valuation.
Beyond issuing tokens, Circle has been steadily building out infrastructure aimed at making stablecoin transactions faster and more accessible for businesses and developers. Rasmussen sees this buildout as a key driver of future value that the market has yet to fully appreciate.
Stablecoins Heading Toward Trillions
The stablecoin market has grown into one of the most closely watched corners of the crypto economy, with total supply climbing steadily as institutions and retail users alike adopt the tokens for settlement and cross-border transfers. Analysts across the industry have floated projections that the sector could eventually reach into the trillions of dollars.
Rasmussen frames Circle as a direct beneficiary of that trajectory, arguing that its revenue model — tied largely to the reserves backing USDC — scales alongside adoption. As more dollars flow into stablecoins, the reasoning goes, issuers like Circle capture greater economic value.
Key points from Rasmussen's view include:
- Circle's valuation does not reflect the long-term growth of stablecoins
- The company's payments infrastructure represents an underappreciated asset
- The overall stablecoin market is positioned to expand into the trillions
While the thesis remains a forward-looking bet, it underscores growing conviction among some crypto researchers that stablecoin issuers occupy