Stablecoin Issuer Circle Sees Strong Adoption Outside the US
Stablecoin issuer Circle has observed significant adoption of its USDC stablecoin outside of the US. According to CEO Jeremy Allaire, emerging and developing markets have shown strong demand for transparent digital dollars. Circle is actively collaborating with financial institutions in key global regions to further expand its reach.
Key Points:
– Circle CEO Jeremy Allaire notes strong progress in Asia, LATAM, and Africa for USDC adoption.
– Tether’s CTO, Paolo Ardoino, shares similar sentiments, aiming to position USDT as a safe tool for emerging markets.
– USDC’s supply has reduced due to diminishing demand and increased redemptions, raising concerns about liquidity.
– Circle has issued $5 billion worth of USDC and redeemed $6.6 billion worth of USDC.
– Despite a rocky start, USDC’s market cap has remained above $26 billion, even after Binance sold a significant amount of the token.
The Changing Stablecoin Landscape
The stablecoin landscape is experiencing shifts as other stablecoins gain attention. Binance stopped issuing the dollar-pegged BUSD stablecoin following an order from the NYDFS, shifting focus to TrueUSD (TUSD), which later lost its peg. Tether’s USDT is facing downward pressure, while USDC has seen significant redemptions. PayPal’s recent launch of PYUSD further validates the changing stablecoin market.
Hot Take:
Circle’s USDC stablecoin has found success in emerging and developing markets outside of the US, signaling a shift in the stablecoin landscape. As regulatory uncertainty continues in the US, stablecoin issuers like Circle and Tether are focusing on global adoption. With the rise of alternative stablecoins like PYUSD and the challenges faced by USDT, the competition in the stablecoin market is intensifying. It remains to be seen how this evolving landscape will impact the overall crypto industry.
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