With expanding EURC stablecoin to Stellar, Circle expects to boost European remittance channels, cross-border payments, treasury management and aid disbursement.
Wormhole integrates native USDC transfers for four blockchain networks
Wormhole integrated with Circle’s Cross-Chain Transfer Protocol, allowing USDC to be sent between Ethereum, Avalanche, Arbitrum and Optimism.
Circle launches USDC stablecoin on Polkadot Asset Hub
Polkadot USDC users should not deposit XCM-transferred USDC from non-Polkadot Asset Hub parachains, Circle has warned.
Superapp Grab, Stablecoin Issuer Circle to Start Web3 Wallets Trial in Singapore
The Grab Web3 Wallet will be available to users of the ride hailing, food delivery and digital payments app to use vouchers in non-fungible token (NFT) form and earn rewards.
Grab, Uber’s Southeast Asian rival, debuts Web3 services with Circle
Grab, Southeast Asia’s Uber-like super app, is working with the USDC issuer Circle to enable Web3 services for its 187 million users.
Stablecoin de-pegging plagued USDC and DAI more than others: Analysts
Stablecoins from Circle and MakerDAO have been more unstable than those from Tether and Binance over the past couple of years, according to a new report from S&P Global.
U.S. Fed’s Vice Chair Barr Says CBDC Decision Still a ‘Long Way’ Off
The U.S. is far from making any decision on a central bank digital currency (CBDC), said Federal Reserve Vice Chairman Michael Barr, who described the Fed as still being in the “basic research” phase.
Tokenization Advocacy Group Wants to Bring the ‘Next Trillion’ of Assets to Blockchain
Founding members such as Coinbase, Circle and Aave Companies aim to foster the use of blockchain technology for traditional assets.
Visa Taps Solana and USDC Stablecoin to Boost Cross-Border Payments
The company said it is one of the first major payment institutions to use directly the Solana network for settlements.
Circle launches USDC stablecoin on Mercado Pago in Chile
The partnership will purportedly bring USDC to 2 million users in Chile.
USDC will launch natively on Base network ‘next week’ — Jeremy Allaire
Circle announced that a Base version of its USDC stablecoin would be available soon, eventually eliminating the need for the USDbC bridged version.
Crypto Biz: Coinbase-Circle re-alignment, Binance fiat hurdles, and USDC at Shopify
This week’s Crypto Biz explores the latest on Binance’s global on-ramps and off-ramps, Coinbase-Circle re-alignment, Shopify’s take on USDC and China’s blockchain data exchange.
Shopify Customers Can Now Pay In USDC Via Solana Pay
Solana Pay, the payment protocol built on the Solana blockchain, is now plugged into e-commerce giant Shopify, allowing users to pay in USD Coin (USDC), the companies announced Wednesday.
Coinbase takes equity stake in Circle as USDC Centre Consortium shuts down
Circle will take on full operational and governance responsibility after five years, thanks to increased regulatory clarity.
Coinbase Gets a Stake in Stablecoin Operator Circle and USDC Adds 6 New Blockchains
The Centre Consortium, jointly managed by Circle and Coinbase, is being shut down and Circle is bringing issuance and governance of the USDC stablecoin in-house.
Circle Strategic Defense: $1 Billion War Chest Shields Against Shrinking Market Share
According to a Bloomberg report, Circle, a prominent player in the stablecoin market, strategically leverages its substantial cash reserves of over $1 billion to weather fresh competition from non-crypto giants like PayPal.
The company’s market share of the second-largest stablecoin, USD Coin (USDC), has been declining, mainly due to factors such as Binance’s decision to reduce its usage of USDC.
However, per the report, Circle remains optimistic about the future of stablecoins and aims to stem the decline while exploring new revenue streams and global expansion.
Circle Relies On $1 Billion Cash Cushion
The circulation of Circle’s USDC has witnessed a significant drop from $45 billion to approximately $26 billion this year, while Tether, the leading stablecoin, has experienced growth during the same period.
Circle attributes part of this decline to Binance’s reduced utilization of USDC to promote its native token. Increasing competition from non-crypto companies like PayPal further intensifies the challenges for Circle.
The company’s over $1 billion cash cushion provides a significant hedge against market headwinds. The company generates revenue primarily from interest income on assets backing the USDC, including dollar deposits and short-term Treasuries.
According to Bloomberg, Circle’s strong financial performance is “evident,” with revenues exceeding $779 million in the year’s first half.
Adjusted earnings before interest, taxes, depreciation, and amortization (EBITDA) reached $219 million in the same period, exceeding the 2022 full-year figure of $150 million.
Circle’s CEO Remains Bullish On Stablecoins
While acknowledging the impact of “tail-risk events” on USDC adoption, Circle’s CEO, Jeremy Allaire, remains optimistic about stablecoins’ mainstream potential. Allaire believes that increasing competition, such as PayPal’s recent entry into the market, will drive more financial services and internet payment firms to embrace stablecoins.
Circle is actively pursuing partnerships to promote the broader adoption of USDC and plans to enhance transparency by regularly sharing financial reports. Moreover, the company has engaged Deloitte as its auditor.
Allaire anticipates that stablecoin issuers will face greater scrutiny and regulatory standards in the coming years. With regulators tightening control over stablecoins globally, he predicts that entities unable to meet these standards will be crowded out of the mainstream market.
Nevertheless, Circle remains confident in its ability to adapt and benefit from the evolving regulatory environment. Despite potential interest rate declines, Circle expects increased crypto activity, positioning the company for further growth.
Circle is leveraging its substantial cash reserves to navigate market challenges and competition from non-crypto players. Despite declining market share, Circle remains focused on expanding revenue streams, promoting wider adoption of USDC, and embracing transparent financial reporting.
With the regulatory landscape evolving, Circle aims to meet the highest standards and thrive in the stablecoin market, positioning itself for long-term success.
Conversely, USDC currently boasts a market capitalization of approximately $26.17 billion, securing its place as the sixth-largest cryptocurrency by market cap, according to CoinMarketCap data.
This figure represents a minute 0.37% of the total cryptocurrency market, indicating the stablecoin’s steady performance despite the highly dynamic nature of the crypto space. With a circulating supply of 26.17 billion USDC tokens, the stablecoin has established a robust presence in the market.
Furthermore, USDC’s trading volume has surged, reaching an impressive $3.03 billion in the past 24 hours. This substantial trading activity positions USDC as the fourth most actively traded cryptocurrency, evidencing its liquidity and attractiveness to market participants.
The 24-hour trading volume to market cap ratio stands at 11.59%, reflecting the strong liquidity and market depth of USDC, which further contributes to its stability and utility.
Featured image from Unsplash, chart from TradingView.com
Circle preps $1B war chest to deal with market threats from PayPal and others
Circle’s USDC stablecoin is down from $45 billion in circulation at the start 2023 to just $26 billion as the summer winds down.
USDC issuer Circle launches MPC wallet beta for Ethereum, Polygon, Avalanche
The stablecoin issuer launched a service and API that allows developers to create customized wallets for their users.
Circle Makes Crypto Payments Easier With New Programmable Web3 Wallet for Businesses
Circle’s Programmable Wallets platform is available now for developers on Ethereum, Avalanche and Polygon, with plans to expand to other blockchain later this year.
Circle CEO: 70% of USDC adoption comes from outside the US
Major stablecoin issuers Tether and Circle are focusing on non-U.S. markets where adoption is growing.