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Circle brings USDC to users in Brazil
Stablecoin issuer Circle says it has officially launched in Brazil.
The expansion entering South America’s largest country gives Circle the chance to offer its popular USD coin to new users, the company said Wednesday (May 29).
“The move comes at a time of exponential fintech adoption resulting from pro-innovation policies and initiatives, such as the 2020 introduction of instant payment Pix platform” Circle said in a press release. “Pix today has over 160 million users who are familiar with digital wallets and efficient financial channels.”
As part of its launch in Brazil, Circle has joined forces with BTG Pactual, Latin America’s largest investment bank, to serve as a direct distribution partner for USDC in Brazil.
This means that the bank will provide USDC to its retail and institutional clients, while also bringing in new clients who want to access USDC. The partnership will equip the USDC with local banking capabilities to allow businesses to mint and redeem digital dollars.
“We are committed to having a positive impact on the Brazilian market and collaborating with key stakeholders to enable companies to participate in the global economy with greater ease and efficiency,” he said Jeremy Allaire, co-founder and CEO of Circle. “There are many powerful opportunities on the horizon as Brazil’s fintech ecosystem converges with the world’s most accessible dollar platform.”
Last month, Visa’s new stablecoin transaction metric found that UDSC had started to breach limits Bind in terms of stablecoin transaction volume. Tether has long been considered the industry’s leading stablecoin, with more than three times the share of coins in circulation than USDC.
But according to Visa and its partner Allium Laboratories, in the week preceding the report, USDC had seen $456 billion in transaction volume, compared to $89 billion for Tether’s USDT stablecoin. Furthermore, USDC has accounted for half of total transactions since the beginning of the year.
Writing about the use of stablecoins last month, PYMNTS noted that these coins allow businesses to “instantly access liquidation and liquidity without relying on intermediary banks or payment processors. This can optimize cash flow management and reduce dependence on traditional banking infrastructure.
“And the fact that every transaction conducted using stablecoins is recorded on the blockchain, providing an immutable audit, can help CFOs and treasurers improve compliance, reduce fraud and simplify auditing,” the report adds.
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