140 Mega-Corps Join Forces to Target USDC Rival's Profit Lifeline, Hyperliquid User Scores Over $1.5 Million in Early CRCL Short Profit

BlockBeats News, July 1st, according to Hyperinsight monitoring, the leading stablecoin Circle (CRCL) saw a major price drop last night and this morning, with a 24-hour decrease expanding to 16.4%, temporarily trading at $63.1 on Hyperliquid.

On the news front, the Open Standard Alliance, composed of more than 140 payment, banking, and tech giants such as VISA, Mastercard, American Express, Stripe, BlackRock, Coinbase, Ripple, and Google, launched a competitor stablecoin called Open USD (OUSD).

The core of Open USD lies in returning the vast majority of the interest income from reserve treasury bonds to the participating enterprises, a model that directly hits Circle's "exclusive reserve income" profit source (which accounted for approximately 99% of its 2024 annual revenue) and conspicuously excludes Circle from the alliance. This, coupled with an insider sell-off of approximately $158.7 million in the quarter and being ejected from five Russell Growth Indexes, has led to significant selling pressure.

Amidst the sharp drop, on-chain whales are overwhelmingly positioned bearishly, with the nominal size of short positions being 2.21 times that of long positions. The average long position is around $68.44, while the average short position is around $87.15. The overall short positions have a much higher entry cost than the current price, resulting in collective unrealized gains.

One short position (0xe9f), as early as May 5th, entered a short position with a 3x leverage of about $2.5 million at $101.65, precisely hitting this round of sell-off. The current unrealized gain has reached $1.56 million, with a return rate of about 114%.