Circle: The Fed Confirmed Our Bullish Thesis

The Fed acknowledged that stablecoins (such as USDC-USD) are useful if they're regulated well, this is a bullish note to Circle.Circle's USDC-USD now accounts for approximately a third of the stablecoin supply thanks to its aggressive expansion of USDC-USD via humanitarian efforts, financial institutions, and the crypto industry.Circle is now trading near its $10 NAV again, but its valuation becomes more justifiable after the bullish note from regulators.However, our studies align with scientific literature in showing Circle's sector, the innovation growth sector, is expected to underperform amid inflationary environment going into 2022.Despite Circle's bullishness, we expect Circle to trade near its $10 NAV floor before merger but drop below its $10 floor after merger due to macroeconomic conditions.