Circle USDC Begins Paperwork To Become Digital Currency Bank

Circle announced that it has started the paperwork to become approved as a federally chartered digital currency bank. This news comes after seeking a merger with Concord Acquisition Corp on Aug 09. According to the official blog, the USDC stable coin issuer has its eyes set on a full-reserve national commercial bank. It will ensure compliance with regulations of the Federal Reserve, U.S. Treasury, Office of the Comptroller of the Currency (OCC), and the Federal Deposit Insurance Corporation (FDIC).

These actions are likely to benefit USDC by increasing the number of digital dollars in circulation. This will improve their penetration into the new digital economy. Additionally, it’ll turn them into a necessary component of the new financial system. Circle’s USDC has grown tremendously lately and currently has a market cap of $28.7 billion.

Circle has filed a Registration Statement with the SEC already – the Form S-4 from the Securities Act of 1933. This submission is mandatory to the Securities and Exchange Commission (SEC) before any mergers, acquisitions, and exchange offers. This will bide well for the USDC future and its credibility/trust value in the crypto ecosystem.

About Circle USDC Stable Coin

Circle USD Coin or USDC is a stablecoin that is pegged to the U.S. dollar on a 1:1 base. Every piece of this cryptocurrency in distribution backs a $1 bill, in a blend of cash and short-term U.S. Treasury bonds. The Centre consortium states that USDC is distributed by supervised economic institutions.