USDC issuer seems optimistic with Bank like regulation, here is the reason
Circle announced that it is working toward a “Crypto Bank” establishment Service in the United States.
The circle is the second biggest Stablecoin issuer company, which provides USDC supply in the crypto market so that crypto Investors can easily trade and deal with their crypto assets. However, this company stands at second rank over USDT Stabelcoin issuer company Tether but has a better reputation in terms of backed reserved funds behind its USDC stable coin.
At the Miami Bitcoin 2022 event, Jeremy Allaire, chief executive at Circle Internet Financial, said that Company is working on negotiation since August 2021 to set up a cryptocurrency bank charter in the United States.
On the question of the exact date for the same, Executive refused to tell any exact date but he ensured that hopefully shortly. Reportedly Circle didn’t file for any regulatory approval related application for the crypto Bank plan.
However here we can’t directly ignore the past efforts by the Circle for its bank establishment-related efforts. In August of last year, Circle applied to get full regulatory approval to provide services as a full-reserve national commercial bank. To know more about the filing of Circle with the US Securities and Exchange Commission (SEC), read here.
The negotiations on this matter by the Circle company are going with the US Banking charter regulatory body, Comptroller of the Currency (OCC).
Circle executive also noted that they are getting better responses from the Banking charter agency with their application, without any delay. And also noted that OCC introduced some supervision requirements in November 2021 for banks engaging in digital assets activities.
Circle executive stated:
“They’ve been doing a lot of work laying the groundwork for how they’re going to supervise crypto, how they’re going to supervise stablecoin issuers specifically.”
These things are showing that proposal by the US lawmakers to regualte the stabelcoin issuer companies like Bank regualtory framework, is giving a much optimistic feel for Circle.
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