In 2024, we saw stablecoins emerge as a widely recognized “killer app” with numerous use cases confirming their value. A prime example was Stripe’s acquisition of Bridge, a stablecoin service provider, which became the largest deal in the industry’s history. With the U.S. government now providing clear regulatory signals, 2025 is shaping up to be a banner year for stablecoins. New issuers, various types of stablecoins, and a growing array of use cases are set to proliferate.

As the issuer of the compliant stablecoin USDC, fintech company Circle is one of the most successful projects today. As a pre-IPO project, Circle has followed the route of traditional capital markets. Thus, the question of how to integrate traditional financial narratives and expand application scenarios in traditional finance is something every stablecoin issuer and every project claiming to achieve mass adoption must learn from.

First Layer Narrative: Financial upgrades of the internet. Circle is building a value-connected network based on stablecoins to provide a network upgrade for global finance. Blockchain brings the speed and scale of the internet to value transfer. Note that this story continues the “Internet+” narrative rather than expanding into “Blockchain+.” After all, all current application layers are built on the internet.

Second Layer Narrative: Upgrading the internet through USDC. The USDC digital dollar is a tokenized version of fiat currency brought online. It enables individuals and businesses to transfer, spend, save, and store value with the same efficiency and scale as transferring data on the internet today.

Due to limitations in financial infrastructure, the transmission of information and funds remains separate in today’s world. The blockchain-based Web3 Value Internet directly integrates value into the traditional internet’s architecture, enabling users to own their data and other technical assets (including currency) and facilitating value exchange. In this Web3 Value Internet, USDC acts as the dollar on the internet. It leverages blockchain network innovations to complement and strengthen the global banking and financial system.

Third Layer Narrative: Expanding application scenarios through network effects. The U.S. dollar and the internet themselves possess powerful network effects. In both the real world and on the internet, the dollar is a currency with network effects. Blockchain technology enhances USDC with more robust features and new application potentials compared to traditional dollars while grounding it in the traditional internet. Circle is building an open technology platform centered around USDC, leveraging the dollar’s current strength and widespread use, and taking full advantage of the internet’s scale, speed, and cost efficiencies to create similar network effects and utility for financial services.

The establishment of these narratives and the expansion of diverse application scenarios have contributed to the success of Circle’s USDC. As such, we have compiled the recently released 2025 State of the USDC Economy from Circle for shared learning and reference.

The full text is 18,000 words. Enjoy below:

Executive Summary by Jeremy Allaire

The past year has been transformative for USDC, showing remarkable growth and maturity in both economic impact and practical applications. Globally, more individuals and businesses are realizing the potential of digital dollars on blockchain networks, fueling strong momentum. Developers are constantly finding innovative ways to use USDC and Circle’s technology to create platforms that enhance efficiency, speed, and inclusivity in global commerce and finance.

Key 2024 highlights for USDC include:

• USDC circulation grew by more than 78% year-over-year in 2024, outpacing all other major stablecoins. November 2024 alone saw $1 trillion in monthly transaction volume, with cumulative historical volume surpassing $18 trillion.
• USDC’s user base has expanded significantly and is gaining mainstream adoption. Partnerships with top digital asset exchanges, banks, and wallets now make USDC accessible to over 500 million wallet users, supporting use cases ranging from capital markets to dollar storage and the growing wave of global payment applications.

USDC is a dollar-based stablecoin. Beyond the dollar’s exceptional position in trade, payments, and global finance, three factors are expected to accelerate the adoption and utility of USDC. This is similar to the evolution in technology history, where dial-up internet and immature browsers gradually gave way to broadband and mobile networks, leading to search engines and e-commerce placing all the world’s knowledge and goods at the fingertips of billions.

• Clarity in legal and regulatory frameworks: Around the world, emerging stablecoin regulations are establishing robust compliance standards to protect consumers and pave the way for broader institutional adoption, aligning with Circle’s operational model. There are strong indications that the U.S. will soon follow suit and play a key role in globally coordinating these rules. This trend toward regulatory clarity will enhance the confidence of households, businesses, and financial institutions in USDC.
• Scalability of blockchain networks: At the same time, blockchain infrastructure is rapidly improving, becoming faster, more secure, and more flexible. Developers are simplifying user experiences and pushing complexity to the background so that technology “just works.” Blockchains that have solved major scalability issues can now enable global USDC payments at costs of just a few cents.
• Outstanding user experience: The number of connections between USDC and traditional finance is skyrocketing. Circle’s expanding global banking network has increased direct access to USDC in many global financial hubs. This growing number of partnerships unlocks more traditional payment use cases, including global payroll, supplier payments, cross-border remittances, merchant payments, and more.

Based on these factors, along with the open networks and ultra-high throughput of the value internet, the Circle stablecoin network enables nearly instantaneous global value transfers. For example, consider the evolution of video storage and mobility: in 2002, transmitting video files was highly cumbersome. Twenty years later, people watch over 1 billion hours of video every day.

The growth of the USDC economy reflects a broader trend of financial openness, driven by technological advancements and the proliferation of APIs. In this future, instant, low-cost payments will become an expectation. Recent studies confirm this, with 65% of payment industry executives recognizing the need to expand instant payment infrastructure. However, traditional payment systems are lagging behind. USDC is poised to help the rapidly evolving payment landscape reach its full potential, particularly in emerging markets transitioning swiftly from cash to non-cash payments.

Circle operates at internet scale, with enterprise-grade quality and regulatory compliance. This is not just a sound business strategy—it is a prerequisite for becoming a thriving platform. Over a decade ago, Circle set out to build a company that leverages the best characteristics of blockchain—high speed, low cost, inclusive reach, and programmability—to rebuild global value exchange from the ground up using internet infrastructure. As this report demonstrates, Circle is delivering on its mission, enhancing global economic prosperity through frictionless value exchange.

Circle is more optimistic about the future than ever before—not just for Circle itself, but for everyone in the USDC ecosystem.

Jeremy Allaire, Circle Co-founder & CEO

2. About Circle and USDC

2.1 Circle Stablecoin Network

Global interest in USDC is growing from the bottom up, as more businesses and individuals recognize that stablecoins and blockchain networks can address long-standing issues in global payments. These issues stem from outdated payment rails that still underpin modern commerce. SWIFT and ACH—just two examples of the many disjointed global payment rails—were established in 1977 and 1972, respectively. Even more recent developments like SEPA in the Eurozone and national instant payment systems in major markets lack global interoperability and network effects.

These shortcomings lead to high transaction costs, delays, and other obstacles, further exacerbating financial inclusion issues for people without access to the global banking system. Overall, these frictions impose a significant tax on global commerce. There is an urgent need for a new standard for global money movement that is efficient, secure, reliable, and open to everyone, addressing these pain points and unlocking significant opportunities. This vision is becoming a reality in the form of the Circle stablecoin network.

Circle collaborates with leading global banks, payment providers, and other institutions to connect all participants through a comprehensive, internet-based settlement system centered around the world’s largest regulated stablecoin, USDC. USDC leverages blockchain network innovations to enhance and complement the global banking system. Since its launch in 2018, Circle has facilitated over $850 billion in two-way flows between fiat and supported blockchains. This stablecoin network enables banks, payment providers, businesses, and consumers to settle transactions globally in real time at minimal costs and with worldwide accessibility.

In the 50 years since SWIFT and ACH were introduced, global communication has undergone a complete transformation, enabling instant connections worldwide. Billions of people can now watch Hollywood movies on their phones while riding the subway, access nearly all human knowledge instantly at virtually no cost, and buy or sell almost anything from anywhere in the world. Circle is building a stablecoin-based value internet to upgrade global finance. As this report outlines, this transformation is already underway, and Circle expects accelerated progress in 2025 and beyond.

2.2 USDC: Both Currency and Platform

USDC is a digital dollar that can move across multiple blockchain networks, offering significant advantages over traditional forms of money in cost, speed, and reach. USDC fulfills the three core functions of money: a store of value, a unit of account, and a medium of exchange.

As a tokenized version of fiat currency, USDC is integrated into the internet, allowing individuals and businesses to transfer, spend, save, and store value with the same efficiency and scale as transmitting internet data today. Global research shows that sending $200 in cross-border remittances can cost over 6% of the amount sent (with rising trends), while such payments are also becoming slower. USDC enables nearly instant dollar transfers at costs of less than a penny.

At the same time, USDC is an ideal infrastructure for digital currency, supporting global use as a store of value, a payment tool (particularly for cross-border payments), and activities in digital asset markets. USDC not only makes money flows faster, better, and cheaper but also unlocks new financial opportunities and applications.

As a bridge between traditional finance and blockchain, USDC requires close integration with the banking system at all times. Circle collaborates with leading banks, including several globally systemically important banks (G-SIBs), to ensure that USDC can be exchanged for dollars on a 1:1 basis. These partner banks are strategically distributed worldwide, ensuring USDC remains cost-effective and accessible in high-demand markets.

This year, Circle began offering USDC through national payment systems and local currencies in certain countries. As Circle pursues further banking integrations, it expects this local accessibility to expand. USDC is also accepted as a settlement currency by the world’s leading card networks and payment systems, supporting its role as a medium of exchange.

USDC’s strength lies in being both a digital dollar and a platform. This platform removes the technical barriers to transferring funds and building new blockchain applications, which previously slowed adoption. Over time, the platform will push blockchain complexity to the background, making USDC easier to use and develop, paving the way for mass adoption.

2.3 Circle’s Compliance Principles for Managing USDC

Circle manage USDC Basic principles:1) Security:USDCIt’s tokenized dollars, not tokenized bank deposits;2) Transparency: full disclosure of reserve assets, guaranteed by third parties;3) Liquidity: Can be pressed globally around the clock1:1Proportional conversion to U.S. dollars;4) Robustness: Comprehensive risk management and world-class financial partners.Circle’s core principles for managing USDC are as follows: 1）Security: USDC is a tokenized dollar, not a tokenized bank deposit. 2）Transparency: Full disclosure of reserve assets with third-party assurances. 3）Liquidity: 1:1 redeemability for dollars globally, available 24/7. 4）Resilience: Comprehensive risk management and world-class financial partnerships.

Circle is the sole issuer of USDC. As the issuer, Circle has established sound prudential risk management and transparency standards for USDC reserves to ensure the highest confidence in its 1:1 redeemability. USDC reserves are always fully backed by cash and equivalents within the regulated financial system. Approximately 90% of the reserves consist of short-term U.S. Treasury bonds and overnight repurchase agreements (repos), managed by BlackRock through the SEC-regulated Circle Reserve Fund, which discloses its holdings daily. The remaining 10% is held in cash to provide immediate liquidity, with around 90% of this cash held at G-SIBs.

Each week, Circle publishes reserve asset, issuance, and redemption information on the transparency page at circle.com. Monthly, Circle releases USDC and EURC reserve reports, which are reviewed by independent auditor Deloitte. Circle operates under regulatory oversight in the U.S. and other jurisdictions worldwide, adhering to requirements such as KYC, AML, sanctions compliance, privacy, regulatory reporting, and other risk management programs. It also conducts blockchain monitoring to prevent child exploitation, sanctioned addresses, terrorist financing, and other illegal activities.

USDC also benefits from legal and regulatory clarity in Europe. Circle is the first major global stablecoin issuer to comply with MiCA regulations—its EURC stablecoin is fully issued and backed by Circle as a regulated e-money institution in France, adhering to the EU’s MiCA framework. As of October 2024, EURC has become the largest euro-backed stablecoin in circulation, with weekly transfer volumes exceeding $1 billion. EURC is available on multiple blockchains and widely supported by major digital asset service providers in the EU. The growth of non-dollar stablecoins opens up new possibilities for blockchain-based finance, including FX, local capital markets, tokenization efforts, and regional cross-border and remittance payment channels.

3. The Dollar on the Internet

Circle is on a mission to boost global economic growth by enabling seamless value transfers. With blockchain technology’s speed, low cost, and accessibility, Circle believes it can bring tangible benefits to billions of people worldwide.

USDC has already played a key role in modernizing traditional financial systems in developed economies, but its most transformative potential lies in its ability to empower 1.4 billion unbanked individuals. Many of these people lack access to mobile phones, the internet, or traditional financial tools. USDC provides a straightforward way to put affordable, transparent digital dollars directly into their hands.

3.1 Revolutionizing Value Transfers with Internet Speeds

This is all thanks to USDC’s inherent openness. USDC is built on open blockchain networks, allowing money, payments, lending, and other programmable functions to integrate directly into the architecture of the internet. As of 2024, USDC natively supports 16 blockchains, including Ethereum—the world’s largest smart contract blockchain—and several “third-generation” blockchains designed from the ground up for near-instant, nearly free payment settlements.

USDC will drive value transfers into the next paradigm. In the past, it took more than two months for information to cross the Atlantic. Faster ships, telegraphs, fax systems, and the internet reduced data delays to milliseconds. However, transferring funds has remained relatively slow. Although ACH, SWIFT, and fintech have brought some improvements, transferring funds lagged behind non-financial data until the advent of blockchain. Blockchain has introduced the speed and scale of the internet to value transfers.

3.2 Expanding USDC’s User Base

Worldwide, the number of people using USDC continues to rise steadily. Since early 2023, the number of wallets holding at least $10 in USDC has nearly doubled to 3.9 million addresses, most of this growth occurring in 2024. This trend is part of a broader, long-term transformation in financial services that has persisted for at least two decades. From the early to mid-2000s, the introduction of mobile devices and smartphones, as well as regulations like the EU’s Payment Services Directive (PSD), paved the way for tech companies to begin offering financial services.

Overall, the digitization of finance is driving significant changes, with digital wallets (including wallets linked to payment cards) becoming a preferred payment method and commercial payments rapidly digitizing.

Over the past year, Circle has formed partnerships with many companies that can now directly distribute USDC to millions of their users. While these partnerships are still in their early stages, Circle expects them to drive the next phase of USDC’s growth by expanding access to dollars through its vast user base.

3.3 Growing Global Interest in Circle from Enterprises

From powerful financial institutions and corporate technology companies to pioneering payment firms, interest in Circle’s business has been steadily deepening. Companies around the world are leveraging Circle’s platform to better serve their customers, operate more efficiently, and create new connections. USDC is borderless, always online, and capable of near-instant payments, powering the next wave of global commerce.

4. A New Internet Financial System – The Internet of Value

The growth of USDC’s user base is rising in parallel with the emergence of a new financial system on the internet, creating new methods of value exchange while enhancing and expanding traditional financial systems. Over time, Circle anticipates that as more people, businesses, and institutions gather around the unparalleled utility provided by open internet protocols, more traditional financial activities will migrate to this new internet financial system—the Internet of Value. This trend moves from information to communication and now to money itself—stablecoins.

4.1 The Development Path of the Internet

To understand this forthcoming transformation and the role Circle aims to play, it is helpful to review the early developmental trajectory of the internet. The emergence of the commercial internet in the 1990s and the advancement of “write access” in the early 2000s gave rise to new platform business models. These platforms empowered builders and directly connected users to one another. Such platform businesses still dominate the internet today, spanning social media, ride-sharing, e-commerce, app marketplaces, and more. By accumulating significant network effects and global scale, they created utility that enabled deep and sustained engagement with loyal user bases.

The rise of digital currencies like USDC stems from the intersection of money with Moore’s Law and Metcalfe’s Law. In both the real world and online, the dollar is a currency with network effects. Circle is building a technology platform centered around USDC, leveraging the dollar’s current strength and widespread use, as well as the scale, speed, and cost advantages of the internet, to achieve similar network effects and utility for financial services.

4.2 The Value Layer of the Internet

To this end, Circle designed USDC using open-source standards and smart contract blockchain technology, enabling any developer to easily access the tools needed to build global, scalable digital dollar applications. This programmability and composability are game-changers, giving USDC more powerful functions and new application potential compared to traditional dollars.

Circle offers developers a range of additional services designed to make USDC easier to use for their businesses and end customers. These include several types of USDC-supported wallets that enterprises can embed into existing customer interfaces with just a few lines of code, as well as an expanding library of smart contract templates that remove much of the complexity of building applications on blockchain. Other services focus on simplifying the payment of network transaction fees, which are typically denominated in the blockchain’s native token, adding extra steps and barriers to usage. Circle is now enabling the use of USDC to pay these fees.

As a regulated financial services company, Circle prioritizes compliance. Developers and businesses building on the Circle platform can access tools to help ensure compliance with Anti-Money Laundering (AML) standards through real-time transaction screening, continuous monitoring, and fulfilling Travel Rule obligations. Circle’s new compliance engine provides resources to developers to meet compliance needs, delivering secure, robust, and responsible tools to the broader digital asset ecosystem.

In the past two decades, leading cloud service providers solved challenges such as on-demand data storage, allowing today’s internet companies to focus less on back-end infrastructure and more on innovation and customer experience. Similarly, Circle offers a comprehensive toolkit to facilitate the development of “Web3.”

Web3 embeds value directly into the architecture of the internet, enabling users to own their data and other technological assets (including money) and facilitating value exchange. Moreover, Web3 can become a new foundational layer for the internet, offering new pathways for corporate governance, value creation, and stakeholder participation.

Just as 94% of Fortune 500 companies rely on public cloud infrastructure for their operations today, Circle expects that in the coming years, more major companies will turn to this Internet of Value. According to some research, over half of surveyed Fortune 500 executives stated their companies are already building on blockchain. In addition to making it easier to launch individual applications, Circle also offers enhancements that transform USDC into a hub connecting various services across the blockchain ecosystem. The Cross-Chain Transfer Protocol (CCTP), launched in 2023, is one such example.

Email gained global adoption partly because of its universal coverage—SMTP allowed seamless communication regardless of the email service used. Similarly, CCTP facilitates interoperability for USDC across supported blockchain networks. By eliminating long-standing frictions and risks associated with transferring value between blockchains—which are inherently unable to communicate with one another—CCTP transforms the growing blockchain ecosystem into an interconnected network where USDC can move freely. Although still in its early lifecycle, CCTP has already become the primary method for transferring USDC between blockchains, having processed over $20 billion in USDC transfers since its inception.

4.3 Fostering a Developer Ecosystem

The movement of funds touches almost every aspect of local and global commerce. USDC and Circle’s technology solutions, built on open protocols and programmability, provide software developers with familiar tools—including APIs in standard programming languages—to create applications capable of upgrading traditional financial systems.

Developers are already seizing this opportunity to build the Internet of Value. Crucially, this progress is occurring both from the bottom up and the top down. Entrepreneurs are using USDC and Circle’s platform to create entirely new categories of financial applications. At the same time, enterprises are leveraging this same infrastructure to integrate the efficiency of USDC and blockchain into their existing operations. Every day, Circle invests in the growth of blockchain ecosystems and developer communities.

Globally, Circle hosts workshops and provides resources to make it easier for developers to experiment and harness the power of digital dollars. Circle helps developers unlock the potential of the USDC platform, enabling them to integrate enterprise-grade software into trusted applications built for the digital dollar use cases highlighted in this report.

So far, most developer activity around USDC has focused on strengthening the connections between the blockchain ecosystem and traditional financial systems. These connections serve as on- and off-ramps, making USDC more impactful for existing payment use cases. This activity supports and enhances the development of a robust on-chain economy, where a full spectrum of financial activities—connecting buyers, sellers, and merchants—can natively occur on blockchain.

The growing intersection of blockchain and AI is another area gaining attention within the USDC developer community. Although still in its early stages, signs suggest that autonomous payments using USDC may begin to open new business models for internet commerce and make consumer interactions more seamless. The Circle platform is prepared to support developers in building this future.

This on-chain economy is emerging across multiple blockchains, further emphasizing the need for neutral, interoperable infrastructure—like USDC and CCTP—that removes the friction of conducting business across networks. Notably, the top six blockchains by developer interest all have native USDC availability and full CCTP integration, highlighting Circle’s central role in this growing ecosystem of builders and creators.

5. Real-World Applications of USDC

USDC is as versatile as the U.S. dollar in its use, with the added potential of innovation. Today, USDC’s primary applications can be grouped into four main areas:

5.1 Global USD acquisition

The demand for USD outside the United States, both for business and personal use, is immense. USD accounts for over 90% of cross-border trade in Latin America, 74% in the Asia-Pacific region, and 79% in regions outside Europe. According to the Federal Reserve, more than $1 trillion in U.S. paper currency—over 60% of all $100 bills—is held outside the United States.

USDC’s usage outside the U.S. is largely driven by these factors, as well as its easier accessibility compared to traditional bank dollars. Throughout the year, Circle collaborated with established fintech companies, neobanks, and other distributors, enabling USDC to reach global customers directly.

5.1.1 Nubank – An Emerging Neobank in Latin America

Nubank, the world’s largest digital banking platform outside Asia, serves 105 million customers in Brazil, Mexico, and Colombia. The company leads industry transformation by leveraging data and proprietary technology to develop innovative financial products and services. Guided by the mission of “fighting complexity and empowering people,” Nubank caters to customers’ entire financial journey, promoting financial inclusion and development through responsible lending and transparency. Supported by an efficient and scalable business model, the company combines low-cost services with growing returns. Nubank has received multiple awards, including recognition as one of TIME Magazine’s 100 Most Influential Companies, Fast Company’s Most Innovative Companies, and Forbes’ World’s Best Banks.

In May 2024, Circle announced its launch in Nubank’s home market of Brazil. This launch included a partnership to create digital asset products, allowing Nubank users to access USDC nearly instantly, at low cost, and 24/7. Besides using USDC as a store of value, Nubank users can transfer it to other wallets and increasingly use it for everyday financial activities. At Nubank, 30% of crypto users hold USDC assets, and 50% of new users see USDC as their gateway into the crypto world. In 2024, the number of users holding USDC grew tenfold.

As Nubank continues to expand its influence across Latin America and beyond, USDC will remain a cornerstone of its strategy to provide innovative financial solutions. Its stability, global reach, and commitment to regulatory compliance make it an ideal partner for building a more inclusive and accessible financial future.

Thomaz Fortes, Head of Crypto

5.1.2 Lemon – A Fiat-Crypto Wallet

Lemon, a Latin American company, has become a leader in the retail digital currency market. Lemon operates directly in Argentina, Peru, and Brazil, while partnering to serve users in Mexico, Colombia, Uruguay, and Ecuador. Its flagship product is a virtual wallet that integrates traditional finance with digital currency. By incorporating DeFi protocols, users can earn additional cryptocurrency income weekly, further enhancing seamless exchange between local currencies and cryptocurrencies like USDC.

Lemon offers an innovative Visa Lemon card for users in Argentina, enabling global spending with Bitcoin cashback for every purchase. Lemon and Visa are strengthening their partnership, with plans to expand the Lemon card throughout the region. Additionally, Peruvians can interact with local payment systems using fiat or cryptocurrencies and remit funds via QR codes. At Lemon, users collectively hold $137 million in USDC, with a 21% increase in new USDC users.

The number of USDC held at Lemon grew 61% in the past 12 months, reflecting a rising demand for digital dollars. This growth underscores the importance of stablecoins and Lemon’s ability to provide tailored solutions, empowering individuals in Latin America to manage their funds freely and seamlessly.

Maximiliano Raimondi, CFO

5.2 Digital Asset Markets

In 2024, the digital asset market showed strong growth momentum with significant increases in mainstream adoption. As more global jurisdictions enacted clear regulations to govern market behavior, digital asset exchanges increasingly became compliant gateways for new users to access financial products with enhanced security measures and robust consumer protections.

USDC has played an increasingly important role in these markets. As the most widely used regulated stablecoin, USDC helps exchanges and their customers mitigate risks while serving as a liquid USD base layer for trading, lending, value storage, and other activities.

Driven by growing public interest, the amount of USDC held by global centralized exchanges grew steadily in 2024. Enhanced institutional support for USDC trading and the introduction of new USDC-pegged products further strengthened its liquidity for trading Bitcoin, Ethereum, and other digital currencies in spot and leverage markets.

USDC also plays a vital role in decentralized finance (DeFi), where institutions often prioritize security and transparency. As digital asset prices rose, DeFi rebounded throughout 2024, with total value locked (TVL) exceeding $126 billion as of November 30, 2024. USDC maintained its strong historical usage in DeFi, accounting for 69% of stablecoin transaction volumes over the same period.

As more jurisdictions worldwide establish regulations for digital asset markets, the demand for regulated stablecoins is expected to grow. This trend is already evident in Europe, where a comprehensive MiCA framework was passed in the summer of 2024. European traders increasingly favor regulated stablecoins, including USDC and EURC, which have adhered to MiCA standards from day one. Several exchanges in the region announced delistings of non-compliant stablecoins ahead of the December 31, 2024 compliance deadline.

Despite a lack of regulatory frameworks for market structure, mainstream adoption in the U.S. has also accelerated, largely driven by the SEC’s approval of spot Bitcoin ETFs, enabling asset managers to provide access to the largest digital assets by market cap for clients. A few months later, the SEC approved Ether spot ETFs. Overall, these ETFs offered mainstream investors a highly regulated and transparent way to invest in nearly $2.5 trillion in digital assets as of November 30, 2024. So far, at least 11 U.S. institutions have launched ETFs linked to Bitcoin or Ether, the two largest digital assets by market cap.

While Circle is not directly involved in these ETFs, its long-standing regulatory-first approach means that USDC benefits from broader trends in the digital asset market, including increased regulatory clarity and integration into the global financial system. Major traditional investment platforms in the U.S. and worldwide continue to expand their digital offerings, with USDC serving as a bridge connecting traditional and digital asset markets for clients.

5.2.1 Coinbase – A Trusted Global Exchange for Digital Assets

Coinbase offers a trusted platform that enables individuals and institutions to easily participate in digital assets, including trading, staking, custody, spending, and fast, free global transfers. USDC plays an important role on Coinbase, accounting for a significant portion of trading liquidity and collateral. In 2023, Coinbase launched Base, an Ethereum Layer 2 blockchain capable of executing USDC transactions in less than a second at a cost of less than a penny. This year, Base adoption grew significantly, with USDC—serving as the leading stablecoin on Base—being a key driver of this surge. Over the past few years, approximately $562 billion worth of USDC has moved to Base. Coinbase also provides a range of other services to make USDC more accessible and easier for users to start using.

Stablecoins are transforming the global financial landscape by fostering greater openness and inclusivity. The continued expansion of USDC circulation enhances economic freedom worldwide and sets a new standard for industries built on trust and transparency. We are excited to continue advancing the USDC ecosystem, promoting its circulation and global adoption to drive further innovation.

Shan Aggarwal, VP of Corporate and Business Development

5.2.3 Chipper Cash – Providing Convenient Financial Services in Africa

Chipper Cash, with over 6 million registered users, is one of the largest fintech companies in Africa. The company enables Africans to remit money easily, avoiding the typical hassles and fees associated with other payment systems. Chipper uses USDC to achieve efficient global fund management, optimizing and reducing cross-border settlement costs.

Chipper offers a variety of products, including USD-denominated savings accounts (suitable for local workers looking to convert foreign wages into USDC), virtual Visa cards for both local and global transactions, fractional investments in foreign stocks, and remittance services. Chipper holds 49 operational licenses globally, including a broker-dealer license recently issued by Ghana’s Securities and Exchange Commission. Circle and Chipper are proud partners, providing accessible and reliable financial services across Africa and beyond.

USDC serves as the critical settlement layer for Chipper Cash’s technology platform and its growing partner network, enabling seamless 24/7 USD transfers and facilitating broad interoperability. By using USDC on a shared ledger, we have significantly improved operational efficiency—real-time reconciliation, transparent fund tracking, and fewer transaction disputes have streamlined our internal liquidity processes. This efficiency is vital to our growth strategy and our commitment to providing strong, reliable financial services to users in Africa and beyond.

Maijid Moujaled, Co-founder & CEO

5.2.2 Bullish – An Innovative Digital Asset Exchange

Bullish focuses on developing products and services for institutional digital asset markets, reimagining traditional exchanges to benefit asset holders, empower traders, and enhance market transparency. Backed by robust funding, Bullish’s centralized exchange combines a high-performance central limit order book (CLOB) with proprietary automated market-making technology to provide deep liquidity and tight spreads—all within a compliant and regulated framework. The exchange was launched in November 2021 and serves over 50 specific jurisdictions across Asia-Pacific, Europe, Africa, and Latin America. Bullish is a full-reserve exchange, prioritizing compliance and safeguarding customer assets through robust security measures and regulatory oversight.

Operated by Bullish (GI) Limited and regulated by the Gibraltar Financial Services Commission, Bullish introduced USDC in 2021. The exchange now supports over 50 USDC trading pairs across spot and derivatives markets. Daily USDC trading volume on Bullish reaches $1.3 billion, accounting for 83% of the exchange’s total trading volume.

The introduction of strong global regulatory frameworks is opening cryptocurrency markets to diversified financial service participants. USDC not only provides an efficient and secure trading medium but also offers institutions a confident entry point into digital assets, serving as an important mechanism for recycling risk capital.

Chris Tyrer, Head of Institutional

5.2.3 dYdX – A Leading Decentralized Exchange

dYdX is one of the largest and most successful protocols in decentralized finance (DeFi). Founded by Antonio Juliano in 2017, it initially launched on the Ethereum mainnet before transitioning to a Layer 2 scaling solution with Starkware in 2020.

Recognizing the need for lower fees and faster speeds, dYdX began exploring alternative infrastructure and re-launched its services on Cosmos in 2023. Cosmos is a highly modular ecosystem that allows services like dYdX to build and operate their own blockchains.

Every transaction on dYdX is almost instantly settled in USDC. Circle’s Cross-Chain Transfer Protocol (CCTP) provides users with a simple way to transfer native USDC liquidity from other blockchain ecosystems to Cosmos. CCTP is a permissionless on-chain utility that facilitates secure transfers of USDC between blockchains through native burning and minting. It allows users to connect wallets seamlessly and deposit USDC from Ethereum and other supported networks.

Circle acknowledges that since the deployment of dYdX Chain, it has processed over $10 billion in transaction volume. This remarkable achievement wouldn’t have been possible without Cosmos-native USDC and CCTP innovations. At dYdX, we deeply appreciate Circle’s ongoing innovation and commitment to ensuring user safety and reliability.

Antonio Juliano, Founder

5.3 Payments

Blockchain networks can significantly upgrade the outdated and fragmented traditional payment rails by replacing multiple intermediaries and isolated databases with streamlined, always-online, and interoperable technologies. These technologies enable the transfer of value to anyone with an internet connection.

USDC is driving advancements in global payments, from merchant acceptance to remittances and B2B payments. USDC is well-suited to reduce costs and increase competitiveness in the $150 trillion cross-border transaction flow. Particularly in commercial payments, which have already shifted towards digital alternatives, this growth is expected to continue in the coming years. USDC helps realize the benefits of digital payments by operating on an open, shared blockchain ledger without intermediaries.

USDC is driving advancements in global payments, from merchant acceptance to remittances and B2B payments. USDC is well-suited to reduce costs and increase competitiveness in the $150 trillion cross-border transaction flow. Particularly in commercial payments, which have already shifted towards digital alternatives, this growth is expected to continue in the coming years. USDC helps realize the benefits of digital payments by operating on an open, shared blockchain ledger without intermediaries.

This year, Circle has made significant moves to capitalize on this trend, enabling USDC to meet the high demand for digital dollars in major global markets. Businesses in the U.S., Brazil, Mexico, the European Economic Area, Singapore, and Hong Kong can now use Circle’s banking partnerships to make payments in USDC to other businesses in these regions. Recipients with accounts at Circle’s banking partners can easily convert these funds into local currencies in just a few minutes.

These markets are among the world’s most active global trade corridors. For example, bilateral trade between the U.S. and Mexico alone exceeds $800 billion annually. In Brazil, 95% of the country’s $640 billion annual foreign goods trade is conducted in dollars. Circle expects additional banking partnerships to continue enhancing USDC’s global liquidity and payment utility, paving the way for broader usage in merchants, suppliers, trade, remittances, payroll, intercompany, and other payment types.

5.3.1 Worldpay – An Innovative Global Payment Provider

Worldpay offers payment, acceptance, and management services to businesses of all sizes. They are global leaders in financial technology, equipped with unique capabilities to support end-to-end business processes. Whether online, in-store, or mobile, Worldpay is at the heart of exceptional commerce experiences in 146 countries and 135 currencies. They help customers improve efficiency, enhance security, and achieve greater success.

In 2022, Worldpay became the first global merchant acquirer to offer direct USDC settlement, allowing merchants worldwide to leverage the growing volume of stablecoin payments and providing new payment options for clients of crypto-native businesses and traditional enterprises. By adopting USDC, businesses can develop financial strategies tailored to their preferred operational currency. Worldpay customers are no longer limited to payment service providers offering only fiat ecosystems but can utilize innovative crypto payment options to receive, hold, and transfer stablecoins efficiently.

This year, with the rebound of the digital asset market, Worldpay has positioned itself to capitalize on rising retail interest. In addition to supporting card-to-crypto purchases and crypto-to-card withdrawals for several major exchanges, Worldpay provides simplified cash management through USDC settlement. Worldpay clients can receive USDC instead of fiat currency from their customers and settle these funds even on weekends (beyond traditional banking hours), helping optimize working capital.

Working with Circle enables Worldpay to deliver new, innovative, and scalable digital payment solutions to our merchants. Our partnership improves transaction efficiency while expanding access to secure on-chain transactions. USDC settlement allows our merchants to position themselves at the forefront of digital finance, where they can enjoy the benefits of fast and efficient settlements. Looking ahead to 2025, Worldpay is excited about further opportunities to collaborate with Circle to grow the ecosystem and enable more participants to leverage the advantages of stablecoins.

Nabil Manji, SVP, Head of FinTech Growth & Financial Partnerships

5.3.2 Mastercard – A Global Card Network

Mastercard collaborates with businesses and governments worldwide to improve the lives of billions of people in areas like payments. For over 60 years, Mastercard has led the development of technologies that make payments simpler, smarter, and safer. Mastercard’s global network advances the payment ecosystem by building stronger connections and bringing more people into the digital economy through technology.

Mastercard’s partnership with Circle has entered its fifth year. In 2021, Mastercard announced that it would enable issuers and their crypto card partners to use USDC for settling payments made on the Mastercard network. This capability was later extended to support acquirers looking to pay merchants in USDC. Currently, millions of dollars are settled using this solution, available to both issuers and acquirers. Additionally, last year, Mastercard launched a card product structure that allows USDC held in self-custodial wallets to be spent at over 100 million locations that accept Mastercard.

At Mastercard, we strive to meet the needs of both consumers and clients. Clients operating in the digital asset space and co-branded partners prefer working with stablecoins like USDC, considering their business models. We want them to choose our network for settlement mechanisms. Our partnership with Circle will continue to evolve to support our mission of making payments simpler, smarter, and safer.

Izzy Iliev-Wollitzer, SVP, Blockchain and Digital Assets

At MetaMask, we are very pleased to collaborate with Mastercard and Circle. We set out to create a solution that allows users to make payments directly from their MetaMask accounts at any location that accepts Mastercard. With the cooperation of these valuable partners, we achieved this goal last summer. While this is an important step towards better and faster payment services, we believe it is only the first step in a new era of financial inclusion — and we look forward to continuing to build it together.

Daniel Lynch, Card Strategy Lead

5.3.3 Zodia Markets — Driving Enterprise Cross-Border Payments with Standard Chartered

Zodia Markets is an institutional-focused digital asset brokerage providing a wide range of services to global clients, including over-the-counter (OTC) trading and on-chain foreign exchange (FX). In 2024, Zodia Markets facilitated $4 billion worth of USDC transactions, with an average cross-border payment amount of $3.5 million per transaction.

Founded by Standard Chartered’s innovation arm, SC Ventures, and Asia’s leading digital asset company, OSL Group, Zodia Markets supports over 50 digital assets and 20 fiat currencies. Its institutional focus and unique relationship with Standard Chartered make it central to enterprise cross-border payments using USDC, especially in emerging markets. Customers include multinational commodity companies and other enterprises looking to accelerate growth through faster and cheaper cross-border dollar transfers.

Standard Chartered, a capital-rich global bank, is a major shareholder in Zodia Markets, playing a pivotal role in bridging digital assets with traditional finance. With its long history and diversified business lines, Standard Chartered has expertise in fostering sustainable growth for global enterprises and individuals. In 2023, Standard Chartered became one of the banks holding a portion of the cash reserves backing USDC. It also facilitated local USDC minting in Singapore, making it easier to access USDC in high-demand markets. The collaboration between Circle and Standard Chartered enables Zodia Markets to mint and redeem USDC almost instantly, giving customers the opportunity to enter and exit global payment flows within minutes.

5.3.4 MoneyGram — A Leading Global Fintech Company

MoneyGram is one of the world’s leading fintech companies, with an 80-year history dedicated to helping individuals and businesses transfer money faster and more efficiently. Today, its services span over 200 countries and territories, serving more than 150 million consumers who can choose to send money online, via its acclaimed mobile app, or at over 440,000 locations worldwide.

MoneyGram uses USDC on the Stellar blockchain to facilitate internet-scale dollar flows while enabling cash-out in 180 countries and conversion to USDC in more than 30 countries. In 2024, MoneyGram launched MoneyGram® Wallet, a non-custodial digital wallet that makes peer-to-peer remittances easier using USDC. With its global reach and decades of expertise, MoneyGram’s remittance services are inherently global rather than regional. The company has already connected the U.S. with Brazil and Mexico and plans to activate more payment corridors in the future.

At MoneyGram, we see tremendous potential in collaborating with Circle and USDC to enhance the speed, transparency, and accessibility of cross-border transactions. Our goal is to empower communities worldwide with greater financial inclusion. Open blockchain networks represent a critical step in the evolution of global currency flows, allowing us to meet the growing expectations of digitally savvy customers. By leveraging blockchain technology and stablecoins like USDC, MoneyGram is at the forefront of innovation, bridging traditional and digital financial ecosystems, and enabling interoperability between digital assets and local currencies.

Jon Lira MoneyGram Access, Head of Partnerships

5.3.5 Stripe — A U.S. Payments Giant

Stripe is a technology company building financial infrastructure for the internet. Businesses of all sizes, from startups to public companies, use Stripe’s software to accept payments and manage operations online. In 2023, Stripe’s commercial customers processed a total payment volume of $1 trillion. Stripe is one of the world’s most innovative companies and an early adopter of crypto payments. In 2022, it began offering USDC as a payment option on its platform, and in 2024, it enabled merchants to accept stablecoin payments using USDC on Ethereum, Solana, and Polygon blockchains.

5.4 Humanitarian Aid

In some of the most remote and hard-to-reach areas of the world, humanitarian organizations often rely on the cross-border transportation of cash to facilitate payments.

This method of distributing aid is unreliable, costly, inefficient, and prone to corruption. Currently, 1.4 billion people live in areas without access to banking services. It is estimated that 130 million people could fall into extreme poverty due to global warming trends.

USDC is beginning to change this by providing a more efficient and secure alternative for some of the world’s leading humanitarian aid agencies. USDC can support 180 countries with negligible transaction costs.

By offering a fast, transparent, and efficient way to transfer value globally using only a mobile device and a digital wallet, USDC bridges an otherwise insurmountable gap. It enables aid organizations to deliver support to those in need at unprecedented speed, lower costs, and with high levels of auditability and trust—foundations of humanitarian work.

Entrepreneurs worldwide are also turning to USDC to build the next generation of humanitarian aid services. Circle fosters this entrepreneurial community through Unlocking Impact, a series of pitch competitions bringing together humanitarian, corporate, and technology sectors to design new USDC use cases to address the United Nations’ Sustainable Development Goals (SDG).

In Fall 2024, Circle hosted the fourth and fifth Unlocking Impact pitch competitions during the UN General Assembly and the IMF and World Bank Annual Meetings. Winners included Kshetra and Decaf, startups leveraging USDC to create payment and remittance services that drive financial inclusion.

5.4.1 The UN Refugee Agency

Currently, over 120 million people worldwide have been forcibly displaced, a figure nearing the total population of Japan. However, with increasing persecution, conflict, violence, and human rights violations, the outlook for forcibly displaced persons is growing increasingly grim. The UN Refugee Agency leads international efforts to protect those forced to flee their homes due to conflict and persecution. It provides life-saving assistance such as shelter, food, and water, helps uphold basic human rights, and crafts solutions to ensure people have a safe home where they can build better futures.

Distributing aid to displaced persons poses a significant challenge. Many of them lack access to banking services, especially in war-torn and chaotic regions. Local currencies can be unstable and difficult to use outside their countries of origin, leaving them with reduced value for those forced to cross borders in search of safety. The risk of cash being lost or stolen is high, a critical concern for people without stable foundations. As part of its humanitarian cash programs, the UN Refugee Agency and Circle launched a program in December 2022 to distribute borderless digital dollars in the form of USDC to a group of people displaced by the war in Ukraine. This money was transferred directly into recipients’ digital wallets via the Stellar blockchain, allowing nearly instant access through digital wallets on their smartphones, with fully integrated redemption solutions that comply with regulatory standards.

The program’s success in Ukraine has driven its expansion and implementation in other regions. For example, in Argentina, this blockchain-based system can help preserve the value of cash assistance against the country’s high inflation and currency devaluation, significantly boosting the purchasing power and impact of aid provided to displaced persons in Latin America. By utilizing blockchain technology and the Circle-issued stablecoin USDC, this solution enhances transparency for donors and traceability for recipients and stakeholders in humanitarian aid. The integration of digital wallets and direct access to financial ecosystems makes aid more accessible, even for those without traditional bank accounts.

This approach enhances refugees’ resilience by supporting livelihoods, fostering financial and digital inclusion, and enabling them to contribute to the economies of host countries and beyond. Blockchain technology allows for real-time, transparent, and accountable aid distribution, transforming the field of humanitarian assistance. There is strong optimism about further leveraging blockchain and cryptocurrencies to support the most vulnerable groups, including displaced persons.

Carmen Hett, Treasurer

5.4.2 Goodwall — Reducing Inequality

Goodwall was founded by brothers Taha and Omar Bawa, whose parents worked for the United Nations. During their childhood visits to refugee camps with their parents, they witnessed inequalities in opportunities and were inspired from a young age to address this gap. By 2030, an estimated one billion people will enter the workforce, with 90% coming from developing economies. To address this, the brothers founded Goodwall, a robust social community platform connecting this growing talent pool and helping them develop the critical skills needed for future employment.

Generation Z, numbering over 2 billion people, is the largest generation in history, but employers and brands often struggle to engage with them authentically and at scale. Goodwall provides a platform for companies like Microsoft, Accenture, governments, and the UN to attract, engage, and build connections with Gen Z talent and consumers. Over the past 12 months, the platform has reached over 100 million young people.

All user activities—such as picking up bottles on a beach—are verified through geotagged photos and videos, earning rewards on the platform. Goodwall chose USDC for payments due to its efficiency, low costs, wide reach, and the high demand for dollars in developing markets. In 2023, the Bawa brothers reached over 90 million people across 170 countries. Nearly 3 million users signed up to enhance their professional skills and earn USDC through environmental impact actions.

This fall, Goodwall will partner with Arbitrum to implement Circle’s programmable wallets, aiming to provide banking services to the unbanked and connect young people globally to the digital economy. Goodwall plans to distribute USDC payments to more than 50,000 beneficiaries through this program over the next year.

5.4.3 Ensuro — Leveraging Blockchain to Support Underserved Insurance Markets

Ensuro is an innovative insurance provider using blockchain technology and smart contracts to transform the insurance industry, making it more capital-efficient and inclusive. Ensuro’s mission is to extend insurance coverage to individuals and businesses traditionally ignored by large insurers due to profitability constraints. The company’s low fixed-cost foundation, enabled by blockchain efficiency, allows it to provide insurance to underserved markets. While other insurers have also experimented with smart contracts, they remain reliant on traditional payment systems, which have proven too slow and costly.

By using USDC, Ensuro ensures policyholders receive claim payments within minutes, a transformative benefit, particularly for economically vulnerable populations. Currently, Ensuro underwrites 170,000 policies, primarily covering smallholder farmers in Kenya. Through its partnership with Circle, Ensuro offers policy values of $50, extending coverage to a broader range of individuals and businesses.

6. Policy and Regulatory Outlook

Last year marked a groundbreaking year for legal and regulatory clarity regarding stablecoins. At this stage of market and policy development, so-called stablecoins need to be regulated to bring this new form of digital currency into the trusted financial services framework. Around the world, emerging stablecoin regulations are effectively codifying Circle’s operational approach into law, establishing clear requirements for trust, transparency, financial integrity, and other areas.

Circle Becomes the First Stablecoin Issuer to Comply with Canada’s New Listing Rules

“The proactive approach taken by the Canadian Securities Administrators in establishing a regulatory framework for digital assets strengthens the integrity of digital asset markets while ensuring continued trust in USDC within Canada’s thriving ecosystem.”
— Dante Disparte, Chief Strategy Officer and Head of Global Policy

Circle Expands into the Middle East with ADGM Registration

In December 2024, Circle announced a major milestone in its strategy to expand into the Middle East and Africa by registering with the Abu Dhabi Global Market (ADGM). As a critical frontier for advancing financial inclusion and efficiency, registering in this tech-forward region will help foster innovative collaborations, financial accessibility, and inclusion.

Circle Announces New Global Headquarters at the Heart of Wall Street

In September 2024, Circle unveiled plans to establish its new global corporate headquarters at the iconic One World Trade Center in Lower Manhattan. Scheduled to open in early 2025, the headquarters will occupy the 87th floor of the building and serve as a hub for partners, tech experts, public leaders, employees, and other global stakeholders. “We are investing in New York. We are investing in America… We are honored to join the vibrant community of innovators, tech experts, and financial leaders in New York.”

Jeremy Allaire, Co-Founder, Chairman and CEO

Circle Becomes the First Major Global Stablecoin Issuer to Comply with EU MiCA Regulations

On July 1, 2024, Circle announced in Paris that it had received an Electronic Money Institution (EMI) license from the French financial regulator ACPR. This license allows Circle to issue USDC and EURC to the EU market in full compliance with MiCA requirements, serving over 450 million residents in the world’s third-largest economy. Boosted by this news, EURC became the largest euro-backed stablecoin by total circulation in October 2024.

Under MiCA, fiat-backed stablecoins (or “e-money tokens” as they are referred to in Europe) are recognized as legitimate electronic money, creating a level playing field for payment systems and e-money operators in the EU. Crucially, given the innovative universal portability of stablecoins, Circle’s collaboration with French and EU regulatory and policy stakeholders ensures the global interchangeability of USDC and EURC within the EU. This not only provides EU market participants with stablecoins denominated in local currencies but also ensures that dollar-based activities within the EU are comprehensively regulated.

Meanwhile, in the United States, long-awaited legislative progress in the House and Senate may finally advance under the incoming Trump administration, which has signaled a pro-growth, pro-innovation, and pro-crypto stance. This is not a matter of creating policy from scratch in the U.S., as bipartisan efforts have already outlined a principled regulatory framework that applies not only to stablecoins but also to cryptocurrency market structures. In this context, President Trump has an opportunity to fulfill his campaign promise of establishing the U.S. as a leader in the cryptocurrency space. By regulating stablecoins, the U.S. can help ensure that digital dollars become the reserve currency of the internet, just as they are the reserve currency of the world.

Other major economies are also expected to follow suit in 2025, including the United Kingdom. Under Prime Minister Starmer’s leadership, the U.K. now enjoys political stability, enabling it to pursue long-standing regulatory interests and research into digital asset markets. Relatedly, both the U.K. and the U.S. have begun important work on national payment strategies, with regulated stablecoins serving as digital savings tools, providing a compelling use case for always-on currencies, and offering much-needed competition to entrenched payment providers.

Similarly, Brazil is expected to bring stablecoins and digital assets under regulatory oversight, integrating them into its already impressive domestic payment ecosystem. Meanwhile, as one of Asia’s most important financial centers, Hong Kong is likely to establish principled rules for stablecoins. These regulations may draw on Japan’s concept of regulatory reciprocity while reinforcing Singapore’s long-standing position as Asia’s fintech hub.

As more global financial centers provide much-needed platforms for stablecoin activities within their jurisdictions, banks, asset managers, and regulators worldwide are building critical bridges between the internet financial system and the real economy. Concerns about intense competition are giving way to cooperation and clearly defined objectives, with the current generation of stablecoins and blockchain-based financial services expanding (rather than disrupting) the reach of the real economy.

Today’s stablecoins and blockchain networks are not designed to upend financial services but to extend the boundaries of innovative financial solutions.

Dante Disparte,Chief Strategy Officer & Head of Global Policy

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