{"id":75414,"date":"2023-03-13T11:23:23","date_gmt":"2023-03-13T09:23:23","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=75414"},"modified":"2025-09-10T11:34:19","modified_gmt":"2025-09-10T08:34:19","slug":"circle-reassures-on-resolving-usdc-banking-support-issues","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/circle-reassures-on-resolving-usdc-banking-support-issues\/","title":{"rendered":"Circle reassures on resolving USDC banking-support issues."},"content":{"rendered":"<p>The price of the stablecoin <a href=\"https:\/\/u1f987.com\/en\/news\/what-is-the-usdc-stablecoin\">USDC<\/a> has nearly returned to par amid <a href=\"https:\/\/u1f987.com\/en\/news\/us-rescue-saves-svb-and-signature-bank-depositors-stablecoins-narrow-the-depegging\">statements<\/a> from regulators and the coin\u2019s issuer \u2014 Circle.<\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-lang=\\\"en\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\">Circle\u2019s USDC operations will open for business on Monday morning, including with new automated settlement via our new partnership with Cross River Bank. <a href=\\\"https:\/\/t.co\/ybkSEedzrC\\\">https:\/\/t.co\/ybkSEedzrC<\/a><\/p>\n<p>\u2014 Jeremy Allaire (@jerallaire) <a href=\\\"https:\/\/twitter.com\/jerallaire\/status\/1635114973830725633?ref_src=twsrc%5Etfw\\\">March 13, 2023<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>On March 11, the &#8216;stablecoin&#8217; <a href=\"https:\/\/u1f987.com\/en\/news\/usdc-loses-peg-to-the-dollar-amid-svb-collapse\">lost its peg to the dollar<\/a> in the United States after authorities closed Silicon Valley Bank (SVB). Circle held $3.3 billion in reserves at the institution \u2014 about 8% of collateral.<\/p>\n<p>Regulators also shuttered the crypto-friendly Signature Bank. Circle said that the institution used for issuing and redeeming USDC would be replaced by BNY Mellon and another unnamed partner.<\/p>\n<p>According to the company&#8217;s statement, no USDC reserves were held at Signature Bank.<\/p>\n<blockquote class=\\\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\\\">\n<p>\u201cTrust, security and the ability to redeem all USDC in circulation at a 1:1 ratio are paramount for Circle. Even in the face of contagion among banks affecting the crypto industry,\u201d said Circle co-founder and CEO Jeremy Allaire.<\/p>\n<\/blockquote>\n<p>He welcomed the authorities&#8217; actions, calling them a reduction in risks tied to the banking system. Regulators allowed the transfer of the company&#8217;s funds from SVB to BNY Mellon.<\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-conversation=\\\"none\\\" data-lang=\\\"en\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\">100% of USDC reserves are also safe and secure, and we will complete our transfer for remaining SVB cash to BNY Mellon. <\/p>\n<p>As previously shared, liquidity operations for USDC will resume at banking open tomorrow morning.<\/p>\n<p>\u2014 Jeremy Allaire (@jerallaire) <a href=\\\"https:\/\/twitter.com\/jerallaire\/status\/1635059027666411522?ref_src=twsrc%5Etfw\\\">March 12, 2023<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>At the time of writing, USDC was trading above $0.98. The U.S. East Coast trading day would begin in a few hours.<\/p>\n<figure class=\\\"wp-block-image\\\"><img decoding=\\\"async\\\" src=\\\"https:\/\/lh6.googleusercontent.com\/QprS7XlKdSd-sJfssvBzKXuPCNjoJ5uEK6Njf9sCxfR5_PMfSIA-3GJb1HKyC-r0ocoKWfH1FICvymdXcZdwyHtC0j8KxaL6fHx7t6mTl34DjdnY_gUWTU1W4YWqm46kVB12tREI9C_t3-BpWeQzEn8\\\" alt=\\\"Circle reassured about resolving USDC banking support issues.\\\"\/><figcaption>Data: CoinGecko.<\/figcaption><\/figure>\n<p>According to Circle, 77% ($32.4 billion) of stablecoin reserves consist of short-term US Treasury securities \u2014 among the most liquid financial instruments.<\/p>\n<p>PeckShield experts noted that on March 13 the issuer minted nearly 500 million USDC.<\/p>\n<blockquote class=\\\"twitter-tweet\\\" data-lang=\\\"en\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\"><a href=\\\"https:\/\/twitter.com\/hashtag\/PeckShieldAlert?src=hash&#038;ref_src=twsrc%5Etfw\\\">#PeckShieldAlert<\/a> ~479.8M <a href=\\\"https:\/\/twitter.com\/search?q=%24USDC&#038;src=ctag&#038;ref_src=twsrc%5Etfw\\\">$USDC<\/a> has been minted <a href=\\\"https:\/\/twitter.com\/circle?ref_src=twsrc%5Etfw\\\">@circle<\/a> <a href=\\\"https:\/\/t.co\/1WfF2INoEe\\\">https:\/\/t.co\/1WfF2INoEe<\/a> <a href=\\\"https:\/\/t.co\/fcOx7bjTT1\\\">pic.twitter.com\/fcOx7bjTT1<\/a><\/p>\n<p>\u2014 PeckShieldAlert (@PeckShieldAlert) <a href=\\\"https:\/\/twitter.com\/PeckShieldAlert\/status\/1635101233991274496?ref_src=twsrc%5Etfw\\\">March 13, 2023<\/a><\/p><\/blockquote>\n<p> <script async=\\\"\\\" src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>Earlier, Allaire assured that the company would <a href=\"https:\/\/u1f987.com\/en\/news\/circle-promises-to-cover-any-shortfall-in-backing-for-usdc\">cover any shortfall<\/a> in the collateral backing the stablecoin.<\/p>\n<p>As reported, due to the <a href=\"https:\/\/u1f987.com\/en\/news\/algorithmic-dai-and-frax-lose-peg-to-the-us-dollar-following-usdc\">depegging<\/a> of USDC from the dollar, a number of <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-algorithmic-stablecoins\">algorithmic stablecoins<\/a> such as <a href=\"https:\/\/u1f987.com\/en\/news\/what-are-makerdao-mkr-and-the-dai-stablecoin\">DAI<\/a> and FRAX lost their peg.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>The price of the stablecoin USDC has nearly returned to par amid statements from regulators and the coin\u2019s issuer, Circle.<\/p>\n","protected":false},"author":1,"featured_media":75415,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"1","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1220,910],"class_list":["post-75414","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-circle","tag-usdc"],"aioseo_notices":[],"amp_enabled":true,"views":"29","promo_type":"1","layout_type":"1","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/75414","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=75414"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/75414\/revisions"}],"predecessor-version":[{"id":75416,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/75414\/revisions\/75416"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/75415"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=75414"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=75414"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=75414"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}