Circle Selects Signature Bank for USDC Integration and Reserve Balances

Rhea-AI Summary

Circle, a fintech firm, has selected Signature Bank (Nasdaq: SBNY) as its primary financial institution for managing billions in reserves associated with USD Coin (USDC), the rapidly growing digital dollar. The partnership aims for a long-term technical integration into Signature's blockchain-based Signet platform, enhancing real-time payment capabilities for customers. With USDC's market cap exceeding $13 billion and a growth rate of $300 million in new circulation weekly, this collaboration is expected to bolster Signature Bank's digital asset leadership and attract further financial partnerships.

Positive

• Circle's partnership with Signature Bank enhances the bank's digital asset reputation.
• The integration into Signet will provide real-time USDC settlements for commercial customers.
• USDC currently has a market cap of over $13 billion and is experiencing rapid growth.

Negative

• None.

BOSTON, April 19, 2021 /PRNewswire/ -- Circle, a global financial technology firm that provides payments and treasury infrastructure for digital businesses announced today that Signature Bank (Nasdaq: SBNY), a New York-based, full service commercial bank, will become their leading financial institution to hold billions of dollars in reserve deposits related to USD Coin (USDC), the fastest growing digital dollar in the world.

The two companies also committed to a long-term roadmap that will kick off with the integration of Circle into Signet^TM, the Bank's groundbreaking, blockchain-based, digital payments platform enabling real-time payments. The joint technical effort to integrate Circle into Signet will enable possible future integrations of additional Circle products and services within the Bank.

"Adding a respected, forward-thinking financial institution to our USDC reserve network is another step forward in adoption and growth for the world's fastest-growing digital dollar currency," said Jeremy Allaire, CEO and Co-Founder of Circle. "Integration into Signet will afford many of our commercial customers real-time account USDC settlement 24/7/365."

Signature Bank President and Chief Executive Officer Joseph J. DePaolo, added: "Many of our digital asset-based commercial clients have been requesting we include Circle in the Signet ecosystem. We look forward to completing this integration in the coming months. We will also seek to leverage this technical integration into future partnerships and service offerings, further strengthening the Bank's leadership position in the digital asset space and adoption and use of USDC stable coin."

The Circle relationship has furthered Signature Bank's reputation in the industry. Circle has more than $13 billion on deposit at financial institutions today as reserves for USDC-issued tokens. The rapid adoption and usage of USDC, which currently is growing at a rate of $300 million net new digital dollars in circulation each week, is driving interest from global financial service firms to partner with Circle. Payment card network Visa announced in March that transactions can now be settled using USDC.

About Circle
Circle is a global financial technology firm that enables businesses of all sizes to harness the power of stable coins and public blockchains for payments, commerce and financial applications worldwide. Circle's platform has supported over 100 million transactions worth tens of billions of dollars, with nearly 10 million retail customers, over a thousand businesses, while storing and securing more than $5 billion in digital currency assets. Circle is also a principal developer of USD Coin (USDC), which together with Coinbase and the Centre Consortium oversees the standards and protocol for what has become the fastest growing, regulated, fully reserved stable coin. USDC now stands at more than $13 billion market cap and is adding nearly $300 million net new digital dollars in circulation every week. Today, Circle's transactional services, business accounts, and platform APIs are giving rise to a new generation of financial services and commerce applications that hold the promise of raising global economic prosperity for all through programmable internet commerce. Learn more at https://circle.com.

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SOURCE Circle Internet Financial, Inc.

FAQ

What is the significance of Circle choosing Signature Bank for USDC reserves?

Circle has selected Signature Bank to manage USDC reserves, enhancing its credibility and operational capacity in the digital currency space.

How much is the USD Coin (USDC) growing weekly?

USDC is growing at a rate of approximately $300 million in new digital dollars in circulation each week.

What does the integration with Signet mean for Signature Bank clients?

The integration will enable Signature Bank's clients to have real-time USDC settlement capabilities 24/7.

What is the current market cap of USDC?

The current market cap of USD Coin (USDC) exceeds $13 billion.

What are the future prospects of the Signature Bank and Circle partnership?

The partnership is expected to lead to further integrations and partnerships, strengthening Signature Bank's position in the digital asset space.