Circle Stock Falls 7% as Mizuho Flags AI Threat to USDC Stablecoin

TLDR Mizuho cut its price target on Circle to $43 from $45 and kept an Underperform rating. The bank sees a 10% to 20% medium-term risk to Circle’s reserve revenue from AI agents. AI agents may steer USDC holders toward higher-yielding fiat products or other platforms. Faster AI adoption could shrink USDC’s market cap by up to $9 billion. Circle shares closed down 7% at $79.84 on Monday. Mizuho has lowered its price target for Circle Internet Group, the company behind the USDC stablecoin. The new target is $43, down from $45.