On Friday, cryptocurrency company and stablecoin issuer Circle announced that financial institution Citizens Trust Bank will hold $65 million in usd coin cash reserves. According to Circle, the move is part of the company’s plan to allocate a share of its stablecoin-denominated reserves to minority-owned depository institutions (MDIs) and community banks in the United States.
Circle has partnered with Atlanta-based Citizens Trust Bank
digital currency companyannounced that Circlehas partnered with Atlanta-basedCitizens Trust BankCitizens Trust Bankannounced that Citizens Trust Bank of Atlanta, founded in 1947, will hold $65 million in U.S. dollar coin (USDC) reserves. The move follows a series of announcements by Circle over the past year allocating funds to various U.S.-based financial institutions. For example, Circle announced that BNY Mellon will hold USDC reserves on April 1, 2022, and in June the Boston-based firm announced that New York Community Bancorp will hold USDC reserves.
Additionally, Circle announced last November that it would work with BlackRock to manage a portion of its USDC reserves in a fund registered with the U.S. Securities and Exchange Commission (SEC). Cynthia N. Day, president and chief executive officer of Citizens Trust Bank, said in a statement, “The opportunity to maintain a portion of Circle’s growing USDC reserves represents an important part of strengthening our balance sheet and a rapidly growing new market.” Circle also announced Friday that it is working with Citizens Trust Bank to enhance its financial literacy efforts.
The company said it is developing plans to expand its programming into the community through Atlanta’s historic HBCUs and local schools, with a launch event scheduled for this summer and a $100,000 seed grant from Circle.February 2023 As of February 24, Circle’s stablecoin USDC is the second-largest USD-pegged cryptocurrency asset by market capitalization, with an overall valuation of $42.66 billion. According to indicators recorded Friday, the number of USDC coins in circulation has declined 2.7% over the past 30 days.
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