Circle, a leading cryptocurrency company that enables users to run their businesses on the USDC stablecoin offering a more scalable and efficient alternative for traditional banking systems, has announced its partnership with the crypto firm Genesis to boost up mass adoption of USDC into the fintech sectors.
Following this strategic partnership, Digital Currency Group (DCG), the parent company of Genesis has invested $25 million into the new project that will offer new yield and lending products based in USD stablecoins. The partnership between Circle and Genesis will establish USDC as a financial instrument that can be leveraged to gain interest reaping the advantage of its low APY.
The extraordinary growth of stablecoins in 2020, made Circle and Genesis, think for investing in this project that will drive USD stablecoins into the fintech masses. Stablecoins represent the largest blockchain transaction volumes and USDC is a similar stablecoin that has leaped from 400 million to 1.1 billion in 6 months which is incredible.
With this growing adoption of USDC, Circle and Genesis teamed up to integrate USDC lending and yielding products into the Circle’s suite of products that will be announced later on this year. Dollar stablecoins are developing at quite a faster pace with over 12 billion coins in circulation as of now. Meanwhile, Genesis has originated more than $2 billion in crypto loans in the first half of 2020 and over $8 billion since its launch in March 2018. This rapid increase in the percentage of USDC within its loan portfolio urged Genesis to invest in this project in collaboration with Circle.
Post this collaboration, the USDC has emerged to be the fastest growing and widely adopted stablecoin. USDC adoption has expanded across various trading segments, payment gateways, lending, savings, and other blockchain-enabled applications.
The news of Circle’s partnership with Genesis came just after the launch of Circle Business Account for streamlining the process of accepting and redeeming USD coins, and Circle API products in the second quarter of 2020.
Since 2019, when the company shifted its focus towards Ethereum based stablecoin USDC, it has been making serious efforts to offer a suite of APIs to enable the development of USDC enabled applications; this integration with Genesis is a giant leap towards that development.
The partnership will provide fintech, businesses, and other financial institutions with a extensive suite of ending and yielding products along with APIs for implementing the USD coins for payments, eCommerce, and financial applications.