Circle CEO: ARK Tokens Belonging to the Company Will Be Recorded as "Other Income" at Zero Cost

Odaily reported that Circle co-founder and CEO Jeremy Allaire responded to questions from various analysts during the earnings call tonight.

When asked how ARK tokens belonging to Circle would be accounted for, Jeremy Allaire stated: "When ARC tokens are created, these tokens will be recorded on Circle's balance sheet at cost, and the cost is zero. Subsequently, after Circle fulfills its obligations under the token pre-sale agreement, we will recognize the value of these tokens as 'other income,' which will then be directly reflected in RLDC (Revenue Less Distribution Costs) and adjusted EBITDA."