Addition of USDC stablecoins for conversion from fiat currencies critical for Banks and Payment providers as web3 market evolves
London, 7th July 2022 – Banking Circle, the tech-first Payments Bank, is shifting the dial in the virtual assets market with a ground-breaking new service for Banks and Payments businesses. By adding USDC stablecoins to its payment rails for payment acceptance, processing and settlement, Banking Circle is delivering an easy to implement solution that cuts out the need for significant IT or financial investment for businesses that want to get into the web3 market. It is a key step in democratising global finance.
“Digital assets are likely to be the ‘leveller’ for the global economy in years to come with potential to remove the friction that is inherent in conventional currencies”, explained Mishal Ruparel, Head of Virtual Asset Services, Banking Circle. “It’s critical, therefore, that Banks and Payments providers have the ability to process certain types of cryptocurrencies in the same way they do fiat currencies. With an already established reputation as an innovator in payments, it’s a natural next step for Banking Circle to add stablecoins.
“We already have client demand for paying out in cryptocurrency, which they want to do in a way that is trustworthy and lower risk. We will, therefore, provide the facility to convert fiat to stablecoins in USDC, giving financial institutions the ability to send funds in stablecoin easily and with full regulatory compliance.”
Banking Circle’s choice of asset backed stablecoins for its move into the web3 market reflects their stability against fiat currencies, giving Banks and Payments providers the ability to facilitate payments outside traditional bank rails. The reconciliation, speed and cost advantages are significant. With connections into crypto liquidity providers such as Coinbase, Banking Circle will act as a bridge between fiat bank accounts and stablecoins which offer faster settlement than fiat transactions without any of the correspondent bank and network fees.
“Banking Circle is committed to delivering payments solutions that are fit for purpose and future-proofed”, added Mishal Ruparel. “This latest addition to our payment rails is an important step as we grow our super-correspondent banking network, giving Banks and Payments businesses the ability to step outside the traditional correspondent banking model and extend their offerings.”