Circle gets access to deposits at SVB bank
At the time of the bank’s bankruptcy, the company had $3,3 billion in accounts
14.03.2023 - 14:00
473
2 min
0
What’s new? Circle CEO Jeremy Allaire said in an interview with Bloomberg that the company was able to regain access to its funds at the bankrupt Silicon Valley Bank (SVB) on March 13. Allaire also said that Circle’s USDC stablecoin is, in his opinion, “the safest digital dollar on the internet.” It was previously reported that the company held a portion of its $3,3 billion in reserves in SVB. In addition, after the collapse of the bank Circle called on the US Congress to urgently pass legislation to regulate stablecoins.
Interview on the Bloomberg website
Circle situation. As a result of the SVB bankruptcy, USDC temporarily lost parity against the dollar, and investors began to move the asset en masse into other stablecoins. On March 13, Allaire announced that reserves from SVB would be transferred to BNY Mellon Bank, reassuring users that the funds were safe. At the same time, the US regulators unveiled a plan to recover funds from SVB depositors, which does not include a bailout of the bank itself. As of March 14, 14:00 UTC, USDC has nearly regained its peg to the dollar and is trading at $0,996256, according to aggregator CoinGecko.
User exchanged 2 million USDC for 0,05 USDT after the SVB collapse
This happened after the stablecoin lost its peg to the US dollar
Later, Circle’s senior executive Caroline Hill said that the traditional finance industry is a threat to cryptocurrencies, calling for regulation of the digital asset sector.
Amid SVB’s collapse, crypto exchange Binance began converting the funds from its crypto companies’ assistance fund from Binance USD (BUSD) stablecoins to BTC, ETH, and BNB.
Useful material?
Market
According to the founder of TRON, the leading US crypto exchange asked for several hundred million dollars for the listing of TRX
Nov 4, 2024
Incidents
The company conducted fictitious trading for six years to inflate the trading volume of tokens of several companies, receiving payment for these services
Nov 1, 2024
Market
1,5 million addresses have already left applications
Oct 31, 2024
Business
The company began investing in bitcoin in 2020, and since then, the value of its securities has risen by 1700%
Oct 30, 2024
Mining
The Deputy Energy Minister explained that in deficit regions, it is impossible to allocate large capacities for industry enterprises until 2030
Oct 30, 2024
Market
Customers will also be able to withdraw funds to bank accounts using cards
Oct 30, 2024