JPMorgan Chase: Coinbase has benefited significantly from its partnership with Circle and the USDC economy

PANews reported on July 29 that according to CoinDesk, JPMorgan's latest report states that Coinbase's collaboration with Circle and its business layout for USDC stablecoin is generating considerable earnings through equity appreciation and high-profit income. The total value brought to Coinbase shareholders by Circle-related businesses is estimated between $55 billion and $60 billion, indicating that the market may have underestimated the strategic importance of the USDC ecosystem. In the first quarter of this year, Coinbase received approximately $300 million in issuance payment from Circle, exceeding Circle's total net income. JPMorgan estimates that Coinbase's USDC balance on its platform at the end of the first quarter was $13 billion, generating $125 million in income at a 20% to 25% profit margin; outside the platform, Coinbase and Circle share the income from Circle's reserve fund, earning $170 million in the previous quarter at nearly 100% profit rate. JPMorgan gave Coinbase stock a neutral rating with a target price of $404. On Tuesday morning, the stock price was around $381.