Japanese investment bank Mizuho downgraded Circle’s rating from “neutral” to “underperform,” and cut its target price from $85 to $50. It believes OpenUSD’s model of distributing most reserve investment returns to issuers and channel partners could force Circle to share more returns with partners, thereby compressing profit margins. Mizuho accordingly raised its 2027 distribution and trading cost rate outlook for Circle from 64% to 73%, and lowered its adjusted EBITDA forecast from $1.09 billion to $699 million. (CoinDesk)