Circle Internet Corp. (CRCL) saw its stock plummet 5.69% during the night session, as the broader crypto and stablecoin-related sector faced significant selling pressure.

The decline followed an announcement by the People's Bank of China (PBOC) over the weekend, reiterating its strict stance on virtual currencies and highlighting concerns about stablecoins. The PBOC warned of increased speculation and pledged to crack down on illegal activities involving stablecoins, which lack proper anti-money laundering controls and customer identification measures.

The regulatory scrutiny triggered a sector-wide sell-off, with other crypto-related stocks also experiencing sharp declines during the session.