USD Coin (USDC) stablecoin co-issuer Circle will go public in the fourth quarter of 2022. This confirmed it in an interview with Decrypt CFO Jeremy Fox Jean.

Top manager with reverse merger SPAC Concord Acquisition Corp will occur regardless of market conditions. In February, Circle was valued at $9 billion as part of an updated deal.

Fox-Gene acknowledged that there are grounds for community concern over the firm’s resilience amid the collapse of Terra and the array of challenges facing some industry players.

The top executive assured that the issuer could not interact directly with troubled players, as the law “explicitly requires USDC reserves to be stored only in a specific set of instruments.”

“We are not allowed to provide them [стейблкоинах] You can lend it, borrow it as collateral, or use it to pay bills. The security is held in segregated accounts in accordance with the Money Transfers Act. A similar regulatory framework applies to PayPal, Venmo, the Block’s Cash App, or Apple’s Apple Pay product. “It’s protecting hundreds, if not billions of dollars, of hundreds of millions,” he said. Fox-Gene said.

Under the US Bankruptcy Act, all available remedies have been provided to the USDC reserve fund, he explained.

CFO Circle said it was not aware of any companies seeking a loan from the stablecoin issuer. Such an arrangement is required by law to be disclosed in the public records. SECAdded a top manager.

Fox-Gene also touched on the Circle Yield product. Responding to regulators’ pressure on players offering such instruments, the firm has registered its proposal with the Bermuda Monetary Authority.

According to him, Circle Yield is over-collateralized in bitcoin, and the valuation process has been occurring twice a day, seven times a week, with no issues in recent months. Fox-Gene added that the “excellent performance” of risk management has not resulted in losses for customers.

On July 18, Dante Disparte, member of the Board of the Center consortium, presented 19 principles for regulating stablecoins. The initiative was part of the firm’s efforts to create a regulatory framework for stablecoins.

The principles include, but are not limited to, non-bank issueability, coexistence with CBDCs, confidentiality, transparency and disclosure.

Recall that Circle presented its first monthly report on USDC collateral and promised to relay its publication daily.

In April 2022, Circle CEO Jeremy Allair said that the company is preparing to apply for a US cryptocurrency bank license. According to him, this should happen in the “near future”.

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