Circle, the issuer of USDC stablecoins, establishes a regional base in Singapore and announces Ventures
Circle, the digital payment startup that runs the USD Coin (USDC) stablecoin, revealed this week that it is establishing a regional hub in Singapore and is seeking partners for its stable coin Lighthouse Project.
Circle, headquartered in the United States, claims its entry into Singapore is part of its worldwide expansion strategy, and the firm expects to get all necessary Singapore licences and registrations, as well as create a regional leadership team based in the nation.
“You cannot establish a global, always-on internet finance firm without considering Singapore as a hub,” Circle’s chief strategy officer and global head of policy, Dante Disparte, said in a statement. “The Monetary Authority of Singapore (MAS) has been an exceptional regulatory partner as we expanded our company horizons and invested in the Singaporean market.”
Additionally, the company is seeking local business partners to join its Lighthouse Project, which will conduct stablecoin experiments in the Singapore market, with the MAS — the country’s central bank — observing and directing project design.
MAS managing director Ravi Menon stated during a lecture at the Singapore FinTech Festival 2021 that stablecoins were gaining traction outside of the crypto sector, but might also pose financial stability problems. The MAS, he explained, was debating the concerns surrounding stablecoins and adopting a flexible regulatory strategy that would foster experimentation and innovation while mitigating risks.
Circle also established Circle Ventures, a new initiative to invest in early stage blockchain ideas and companies, as part of a series of announcements made this week at the Singapore FinTech Festival.
According to CoinGecko data, USDC is presently the second-largest stablecoin, with a market cap of nearly US$34.5 billion. Circle has also declared aspirations to become a full-reserve national digital currency bank in the United States, as regulatory scrutiny of stablecoins grows globally.
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