Banking Circle was launched in 2016 with a mission to help payments businesses grasp new global markets, avoiding the burdens of traditional banking.
Banking Circle, a European bank focused on cross-border payments, is accepting a major U.S. dollar-pegged stablecoin for payment rails.
The firm officially declared on Friday that the adoption of the USD Coin (USDC) on its platform is a payment acceptance, processing, and settlement method.
The new payment feature is empowered as part of Banking Circle’s new service targeting banks and payment providers, permitting them to facilitate payments outside traditional bank rails.
Coinbase, a major cryptocurrency exchange in the United States, will be one of the crypto liquidity providers for Bank Circle, the statement declares.
The USDC adoption by Banking Circle is placed as a “key step in democratizing global finance” as it provides significant “reconciliation, speed, and cost advantages,” the firm claimed.
The head of virtual asset services at Banking Circle Mishal Ruparel, pointed out that digital assets are likely to become the “leveler” for the global economy in the forthcoming days. “It’s critical, therefore, that Banks and Payments providers have the ability to process certain types of cryptocurrencies in the same way they do fiat currencies,” he noted, adding:
“We already have client demand for paying out in cryptocurrency. […] We will, therefore, provide the facility to convert fiat to stablecoins in USDC, giving financial institutions the ability to send funds in stablecoin easily and with full regulatory compliance.”
The firm also offera services in other European countries such as the United Kingdom, operating under limited supervision of the U.K. Financial Conduct Authority.
USDC is the world’s second-largest stablecoin by market capitalization, following only Tether (USDT). The USDC stablecoin was launched in 2018 as a joint project between the Coinbase crypto exchange and Circle, a U.S.-based blockchain payment firm founded by Jeremy Allaire and Sean Neville in October 2013.
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