Usdc circle spac 9b theblock

usdc circle spac 9b theblock

If the trends continue, it could spell the end of Tether’s dominance in the stablecoin space.

The collapse of layer-1 blockchain Terra and possible contagion from the fall of crypto lending platform Celsius have caused doubt among investors, made worse by a market crash in recent weeks. Redemptions in Tether have increased significantly in the aftermath, leading to a drop in supply.

Tether has been attempting to shore up confidence in its stablecoin – including stating on June 13 that the ongoing calamities in the crypto market involving Terra and Celsius will not have any impact on its reserves. Despite this, investors appear to be migrating to USDC.

Messari’s real volume metric does not tell the whole story of course. Across all blockchains and exchanges, CoinGecko shows USDT daily volume still tops the charts at $44 billion compared to USDC’s $5 billion.


Western countries announced sanctions in response, including the expulsion of several Russian banks from SWIFT. Subsequent peace talks seemingly yielded few results, and Russia continued to attack Ukraine, for example going after Ukraine’s second-largest city Kharkiv and sending a 40-mile long convoy to Kyiv. As mentioned above, the uncertainty was initially negative for crypto, though later proved to increase crypto demand in sanctioned regions and pointed to the utility of non-sovereign money.

Terra Outperformance

One bright spot during February was Terra, which saw its LUNA token rally 74% during the month and overtake peer layer ones such as Cardano and Polkadot to become the seventh-largest cryptocurrency by market cap.
There were various positive items during the month contributing to the rise.


But the SPAC merger is hanging fire “for a variety of reasons outside of the parties’ control,” Circle said in its press release.

For one, the crypto firm pointed to its recent growth spurt. About $26 billion in USDC were circulating in July,CNBC reported. Circle said that figure has jumped to $52.5 billion as of Wednesday, according to the press release.

“We continue to believe that Circle is one of the most interesting, innovative and exciting companies in the evolution of global finance and we believe it will have an historic impact on the global economic system,” said Concord’s chairman, Bob Diamond, who once served as CEO of Barclays.

“Circle’s rapid growth and world-class leadership are underscored by a regulatory-first mindset fixed on building trust and transparency in global markets,” Diamond said.


Making this journey with Concord under our new agreement is a strategic accelerator,” Jeremy Allaire, Circle’s co-founder and CEO, said in a statement.

In addition to operating as a financial technology firm, Circle is well known for backing the Centre Consortium in 2018 alongside cryptocurrency exchange startup Coinbase. The consortium operates the USD crypto Coin (USDC).

Circle’s market share of USDC has doubled since the last merger agreement was made in July. The growth in market share has seemingly contributed to Circle’s new valuation.
As of February, its market share totaled $52.5 billion, according to the company.

In addition to a growing valuation and market share, Circle is expanding its team and is currently hiringfor over 50 positions.


That figure has more than doubled as USDC circulation has reached $52.5 billion.

In addition to reserve-related incomes, Circle provides several APIs and yield-generating products. For instance, the company helps you process payments and trigger payouts with simple API calls. It is compatible with many classic payment methods, such as card payments, bank wires and ACH.

Developers can take advantage of those services to create on- and off-ramps for their crypto products.
And those “transaction and treasury services”, as Circle calls its API services, are generating most of Circle’s revenue. Some companies using Circle’s transaction and treasury services include Dapper Labs, Compound Labs and FTX.

More recently, Circle started offering Circle Yield. Companies using Circle Yield can generate fixed interests through short-term investments that range from one to 12 months.

USD Coin (USDC), has delayed its initial public offering (IPO), and renegotiated its original agreement with special-purpose acquisition company (SPAC) Concord Acquisition to double Circle’s enterprise value from $4.5 billion to $9 billion,according to a Thursday press release.

  • The July 2021 agreement between Circle and Concord originally established a termination date of April 3, 2022 for the deal. But that’s been pushed to Dec. 8, and could potentially be delayed until Jan. 31, 2023, under certain conditions.
  • Circle’s new enterprise value takes into account that circulation of USDC has more than doubled since the deal was first announced, the company said.
  • Dive Insight:

    Circle, which issues the second-largest stablecoin by market capitalization, still plans to combine with Concord and eventually list on the New York Stock Exchange.

    While UST is used across many Terra-based protocols, one particularly large source of UST demand is Anchor Protocol, Terra’s flagship savings product that offers a stable ~20% yield on UST deposits. Whether due to increased stable farming during a tougher market period or the $450m replenishment of Anchor’s yield reserve allowing it to continue to pay out one of the best stablecoin yields in all of DeFi, UST deposits on Anchor grew $2.8b or 56% during the month, adding to UST demand and ultimately helping LUNA’s price.

    Another large event during the month was The Luna Foundation Guard’s $1b raise to create a bitcoin reserve that will act as a release value during volatile markets for UST. This adds another mechanism to help UST maintain its dollar peg and inspires greater confidence for its users.

    Circle, the payments company that created the USDC stablecoin, may now be looking to go public via a SPAC (special purpose acquisition company) deal, according to sources that spoke with The Block Crypto.

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    In a new round of funding, Circle raised $440 million in new capital. The funding came from Fidelity, FTX, Valor Capital Group, Digital Currency Group and others.
    Circle is reportedly looking for a valuation of $4 billion.

    In 2018 the company raised $110 million valuing the Circle at $3 billion. Later in 2020, a round led by Digital Currency Group added another $25 million.

    Should Circle go public with a SPAC deal it will join Coinbase as the second cryptocurrency company to go public in the U.S.

    USD Coin (USDC), has delayed its initial public offering (IPO), and renegotiated its original agreement with special-purpose acquisition company (SPAC) Concord Acquisition to double Circle’s enterprise value from $4.5 billion to $9 billion,according to a Thursday press release.

  • The July 2021 agreement between Circle and Concord originally established a termination date of April 3, 2022 for the deal. But that’s been pushed back until Dec. 8, and could potentially be delayed until Jan. 31, 2023, under certain conditions.
  • Circle’s new enterprise value takes into account that circulation of USDC has more than doubled since the deal was first announced, the company said.
  • Dive Insight:

    Circle, which issues the second-largest stablecoin by market capitalization, still plans to combine with Concord and eventually list on the New York Stock Exchange.

    Cryptocurrency company Circle has announced that it has terminated its previous agreement with Concord Acquisition Corp., a publicly traded blank-check company — a SPAC. At the same time, it has reached a new deal with Concord Acquisition Corp. for a new merger. If the transaction goes through, Circle would become a public company at a $9 billion valuation.

    Originally announced in July 2021, the merger was supposed to close in Q4 2021.

    And it sounds like Circle wasn’t satisfied with its original deal that valued Circle at $4.5 billion. The company didn’t wait until the termination date of April 3, 2022 to scrap it and sign a new deal.

    Circle is better known as one of the founding members of the Centre consortium with Coinbase. This consortium is in charge of managing USD Coin (USDC), a popular stablecoin.

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