Circle is preparing a $ 400 million fundraiser
Fundraising in the cryptocurrency sector continues to rain. Today, Circle has announced a € 400 million funding roundwhich is expected to close by the end of the second quarter of this year.
The USDC stablecoin issuer, along with Coinbase, said in a statement that a financing agreement has already been reached with Marshall Wace, Fin Venture Capital and Fidelity Management and Research Company. BlackRock, the largest asset manager in the worldhe is also one of the participants.
According to the press release, in addition to his role as principal asset manager of USDC’s cash reservesBlackRock has also entered into a ” broader strategic partnership with Circle like that explore opportunities for using USDC in capital markets.
According to Jeremy AllaireCircle’s CEO and co-founder, USDC plays a crucial role in the ongoing economic transformation:
“Dollar-backed digital currencies like USDA are fueling a global economic transformation, and Circle’s technology infrastructure is at the heart of that shift. This funding round will kick off Circle’s next phase of expansion. “
This partnership with BlackRock to develop USDC use cases follows FTX.US investment in Investors Exchange (IEC) a few days earlier, 2 scenarios that demonstrate a growing acceptance of cryptocurrencies by traditional finance.
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Growing market interest in stablecoins
At the time of this writing, USDC takes 2nd place on the stablecoin podium with over $ 50 billion in market capitalization, behind USDT and its $ 82 billion.
In January, we highlighted the gap that is drastically narrowing between the 2 main stablecoins. Indeed, during this period, the number of USDC circulating on the Ethereum (ETH) blockchain had officially surpassed that of USDT for the first time.
Not surprising information, especially when you consider the multiple legal setbacks that Bind, the issuing company USDT, has accumulated in recent years. Furthermore, we can also see that, despite the efforts that the latter continues, the USDC continues to gain ground.
Either way, this new round of funding proves it once again even the biggest giants on Wall Street are gearing up for wider adoption of cryptocurrenciesdespite a regulation that seems to have difficulty finding its place, especially if we consider it on a global scale.
For this purpose, Larry FinkBlackRock’s CEO, said last month that subsequent wars that occurred around the world would eventually lead all countries to reconsider their dependence on the traditional banking system :
“A carefully designed global digital payment system can improve the order of international transactions while reducing the risk of money laundering and corruption. “
Therefore, it would appear that these will be the stablecoins that will lead the way towards this probable paradigm shift.
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Sources: Communiqué de Circle, CoinGecko
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