CRCL

Circle Internet Group, Inc.

HARAM — SCREEN DOES NOT PASSstock

Is CRCL Halal?

Issuer of the USDC stablecoin whose revenue is overwhelmingly interest (riba) earned on reserve assets — a core financial-screen disqualifier.

What You Should Know

Circle Internet Group, Inc. is the issuer of USDC, a US-dollar stablecoin. Its March 31, 2026 Form 10-Q reports $80,536.778 million of assets, no conventional corporate debt, $1,517.264 million of corporate cash, $72.168 million of receivables and $694.133 million of total revenue and reserve income. Reserve income was $652.508 million, or 94.00% of reported revenue; reserve assets segregated for USDC holders are not counted as Circle corporate securities in this screen. Payment infrastructure may be permissible in isolation, but the listed company's economics are fundamentally riba-based.

⚠️ Concerns

  • Reserve income was 94.00% of reported Q1 2026 revenue, so interest is the core business model rather than an incidental line
  • Segregated USDC reserve assets and corresponding deposit liabilities must not be misread as Circle corporate cash or securities
  • Because profitability depends on riba income on reserves, no purification mechanism realistically addresses the structural concern
  • Stablecoin economics also carry regulatory, custody and reserve-composition uncertainty

Current quantitative Sharia screen

Based on 10-Q figures for the period ended 2026-03-31; calculated 2026-07-15.

USD · millions
Interest-bearing debt / assets
0.00%Within limit
Below 33.333% under FTSE Yasaar

0 / 80,536.778

Cash + interest-bearing securities / assets
1.88%Within limit
Below 33.333% under FTSE Yasaar

1,517.264 / 80,536.778

Receivables + cash / assets
1.97%Within limit
Below 50% under FTSE Yasaar

1,589.432 / 80,536.778

Non-compliant income / revenue
94.00%Above limit
No more than 5% under FTSE Yasaar

652.508 / 694.133

FTSE Yasaar
v4.6, February 2026
Financial
Fails
Overall
Fails

Known debt/assets is 0.00%, but reserve income is 94.00% of revenue and the core business is interest-based.

MSCI Islamic (total-assets series)
October 2024 methodology
Financial
Pass
Overall
Fails

Known corporate debt, liquidity and receivables-plus-cash ratios are below the examined asset limits; the core reserve-income business screen fails independently.

Malaysia SAC financial ratios
single 5% activity benchmark adopted November 2025
Financial
Pass
Overall
Fails

Known corporate debt, liquidity and receivables-plus-cash ratios are below examined limits; reserve income is a separate core business-activity failure, and this is not an official SAC classification.

Market-cap denominator methods
MSCI M-Series, S&P and Dow Jones methods differ
Financial
Not calculated
Overall
Fails

A licensed historical market-cap series is not stored; the core reserve-income failure is independent of market capitalization.

Business-activity disclosure

Circle issues USDC and earns the overwhelming majority of reported revenue from reserve income on assets backing the stablecoin. Payment and blockchain infrastructure may be permissible in isolation, but interest-based reserve income is central to the listed company's economics.

Limitation: The filing reports reserve income and reserve structure, but does not provide a scholar-approved treatment for every reserve instrument or a purification prescription.

Purification

Circle fails at the core business-model level because reserve income is 94.00% of reported revenue; ZakatInvest does not prescribe purification for a structurally interest-based business.

Inputs, assumptions and primary sources
  • Amounts are USD millions from Circle's March 31, 2026 Form 10-Q.
  • No conventional corporate debt is reported; operating lease liabilities are excluded from debt.
  • Corporate cash is $1,517.264 million. Reserve assets segregated for the benefit of USDC holders are represented with corresponding deposit liabilities and are not counted as corporate cash or securities in this screen.
  • Accounts receivable are $72.168 million and total revenue and reserve income is $694.133 million.
  • Reserve income is $652.508 million and other revenue is $41.625 million; reserve income is used as the disclosed non-compliant revenue and income numerator because it is earned on assets backing USDC.
  • The reserve portfolio and stablecoin structure require specialist Sharia review; this record does not issue a fatwa.

This is a reproducible financial screen, not a fatwa. A failed total-assets screen can coexist with a pass under a market-cap methodology. ZakatInvest keeps the qualitative assessment separate so numerical thresholds do not erase material context.

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