Jeremy Allaire, the Chief Executive Officer (CEO) of Circle, a prominent blockchain company, has projected that a substantial portion, potentially reaching up to 70% of the adoption of USDC stablecoin originates from nations beyond the borders of the United States.
According to a post on X, he highlighted that;
“Despite the hype that we are all about the US, he estimates that 70% of USD Coin adoption is non-US. He further stressed that some of the fastest growing areas are emerging and developing markets, especially regions spanning Asia, Latin America (LATAM), and Africa”.
Despite the hype that we're all about the US, we estimate that 70% of USDC adoption is non-US, and some of the fastest growing areas are emerging and developing markets. Strong progress happening across Asia, LATAM and Africa. Demand for safe, transparent digital dollars is…
— Jeremy Allaire (@jerallaire) August 7, 2023
Jeremy’s estimation also revealed that a significant international demand for the USDC stablecoin has led to its widespread adoption outside the United States. Likewise, the assertion underscores the role of the USDC in facilitating cross-border transactions and providing a stable store of value, particularly in regions where local currencies might experience volatility.
The CEO’s estimation also points to the fact that the cryptocurrency landscape has evolved beyond a purely domestic perspective. Meanwhile, Paolo Ardoino, the Chief Technology Officer (CTO) of stablecoin USDT issuer Tether, has previously agreed with the perspective that US dollar-pegged stablecoins are gaining traction and are more attractive to crypto investors overseas.
Paolo in a post on X, mentioned that USDT is considered a safe tool for emerging markets and developing countries, and also a hope for several communities that are suffering from heavy devaluation of their national currencies.
5/ This focused approach allows Tether to be considered a safe tool for emerging markets and developing countries, a life-life for many communities that are suffering from heavy devaluation of their national currencies.
— Paolo Ardoino 🍐 (@paoloardoino) February 9, 2023
However, Circle CEO’s comment came after, PayPal, the leading digital payment platform announced the launch of a U.S. dollar-pegged stablecoin, dubbed PayPal USD (PYUSD). The launch will allow the platform to facilitate seamless transactions between fiat and digital currencies.
Circle Readjusts Its USDC Reserves
Recall that, the stablecoin issuer readjusted its reserve treasuries in May with hopes of reducing the risk of US debt defaults. As such, the CEO highlighted that the platform does not own any treasuries that would mature after early June, as the main aim of the firm is to avoid debt exposure as much as possible.
Moreover in June, Circle Internet Singapore Pte. Ltd. (Circle Singapore), an affiliate of Circle announced that it has received a license to operate in Singapore. Interestingly, this license allows Circle Singapore to offer digital payment token services, alongside cross-border money transfer services and domestic money transfer services in the city-state via its various products and services.
