“Circle Internet Financial, LLC, a global internet finance firm that provides payments and financial infrastructure to businesses of all sizes today announced the launch of Circle Impact. The initiative is dedicated to measurably improving three key areas of focus: financial inclusion, responsible financial service innovation, and supporting humanitarian efforts through the faster deployment of aid and relief using corruption-resistant real-time payments.”

“Stablecoins, a popular type of digital asset pegged to traditional currencies, could transform the way Americans pay for everything from cell phones and gasoline to haircuts and cups of coffee, according to a long-awaited report released by the Biden administration. When regulated, stablecoins could “support faster, more efficient, and more inclusive payments options,” said the President’s Working Group on Financial Markets, which includes several top economic advisors to President Joe Biden.”

“A U.S. Treasury Department-led panel is set on Monday to release a hotly-awaited report on stablecoins, a fast-growing type of digital coin pegged to traditional currencies, according to an administration official with knowledge of the matter. The report by the President’s Working Group on Financial Markets will explore the risks and opportunities offered by stablecoins, a roughly $131 billion market, paving the way for future regulatory and potential congressional action.”

“The Stellar Development Foundation (SDF) announced that Flutterwave , a global payments technology company, has launched two new remittance corridors between Europe and Africa on the Stellar network. Working with TEMPO , Flutterwave is leveraging the Stellar network and Stellar USDC to simplify remittances in Africa.”

“Tether will pay $41 million to settle allegations by the US Commodity Futures Trading Commission (CFTC) that it made untrue or misleading statements when it claimed its stablecoins were fully backed by fiat currencies. The CFTC said in a statement Friday that between June 2016 and February 2019, Tether misrepresented to customers and the cryptocurrencies markets that it had “sufficient US dollar reserves” to back every token when, in fact, its reserves were not fully backed the majority of the time.”

“In July, Treasury Secretary Janet Yellen summoned the chair of the Federal Reserve, the head of the Securities and Exchange Commission, and six other top officials for a meeting to discuss Tether. The absurdity of the situation couldn’t have been lost on them: Inflation was spiking, a Covid surge threatened the economic recovery, and Yellen wanted to talk about a digital currency dreamed up by the former child actor who’d missed a penalty shot in The Mighty Ducks. But Tether had gotten so large that it threatened to put the U.S. financial system at risk. It was as if a playground snowball fight had escalated so wildly that the Joint Chiefs of Staff were being called in to avert a nuclear war.”

“The IOSCO group of securities regulators and the Bank for International Settlements, a global forum for central banks, set out on Wednesday how current rules for major clearing, settlement and payments services should also be applied to ‘systemic’ or heavily used stablecoins. The proposals, put out to public consultation before being finalised early next year, put into practice what regulators have long called for: the same rules for the same type of business and accompanying risks. The rules mean a stablecoin operator must set up a legal entity which spells out how it is governed and manages operational risks like cyber attacks.”

“Circle Internet Financial, the backer of the USDC stablecoin, received a subpoena in July from the U.S. Securities and Exchange Commission, according to a filing Monday. The disclosure was made as part of a filing about Circle’s planned merger with the special purpose acquisition company, Concord Acquisition Corp., a deal announced in July valued at $4.5 billion. Circle Chief Executive Jeremy Allaire has previously called for more clarity around digital-asset regulation.”

“Treasury officials have identified what they believe are the most urgent risks posed by Tether and other stablecoins as they ready recommendations for stricter oversight of cryptocurrencies.  Ensuring investors can reliably move money in and out of tokens is a top concern for officials crafting a policy framework set to be released in the coming weeks, according to people with knowledge of the matter who declined to be named because the work isn’t complete. They’re also worried that widespread, fire-sale runs on crypto assets could threaten financial stability and that certain stablecoins could scale up dangerously fast, the people said.”

“The U.S. Treasury Department met with a number of industry participants this week to quiz them about the risks and benefits posed by stablecoins — a rapidly growing type of cryptocurrencies, the value of which is pegged to traditional currencies, according to three people with direct knowledge of the meetings. Washington policymakers are alarmed at the rapidly expanding cryptocurrency market which exceeded a record $2 trillion in April. As of Friday, the market cap of stablecoins stood at roughly $125 billion, according to industry data site CoinMarketCap. It is unclear which financial regulations apply to these relatively new products.”

“Australian buy now, pay later giant Afterpay has told a Senate fintech committee that it believes a stablecoin based on the Australian dollar will appear soon. “There is currently no AUD-backed stablecoin with significant uptake. However, this is unlikely to remain true for long. An AUD-backed stablecoin would provide Australian cryptocurrency users and investors with an alternate store of value compared to the popular USD-denominated coins, with the associated benefits of blockchain technology,” Afterpay told the Senate Select Committee on Australia as a Technology and Financial Centre in a submission.”

“AID:Tech , a financial services company that brings transparency and accountability to federal relief distribution, will soon be leveraging the power of payment solutions from Circle, a global financial technology firm that provides internet-native payments and treasury infrastructure. Utilizing USD Coin (USDC), a blockchain-powered digital currency, and leveraging Circle’s payment rails, AID:Tech’s platform provides people in need with a fast and efficient channel to access the funds they need while also securing their digital identity.”

“Circle, a global financial technology firm that provides internet-native payments and treasury infrastructure, announced the transition of USDC reserves to 100 percent cash and short duration U.S. Treasuries to be reflected in the dollar digital currency’s September attestation. Since inception, USDC reserves have been bound by the permissible investment rules under state money transmission regulations, which is how Circle is regulated today. These rules, together with the more conservative reserve management standards of the Centre Consortium, a partnership between Circle and Coinbase that provides standards for stablecoins, protect consumers and ensure 1:1 dollar liquidity for USDC at all times.”

“For months, a visitor to the website of Coinbase Global Inc. , the largest U.S. cryptocurrency exchange, would see that the company offered a stablecoin called USD Coin with a simple premise: For every dollar offered to investors, there was $1 “in a bank account” to back it. That promise was important for the stablecoin, which unlike Bitcoin has a set price and can be redeemed by users for regular currency. It helped USD Coin grow to be the world’s second-largest stablecoin, with $28 billion in assets.  But when Circle Internet Financial Inc. , Coinbase’s partner in offering the coin, disclosed USD Coin’s assets for the first time last month, it turns out the promise wasn’t true.”

“K2 Integrity today announced its engagement with Diem Networks US to support, initially lead, and continue to build innovative solutions for the Diem Networks US Financial Intelligence Function (FIF). The FIF is designed to protect the Diem Payment Network (DPN) from illicit financial activity and works in close collaboration with DPN participants who also are required to maintain strong financial crime compliance controls.      Diem Networks US has built a blockchain-based payment system designed to make payments cheaper and faster, while protecting consumers and the integrity of the financial system.”

“The Justice Department is investigating possible bank fraud by executives of Tether Ltd. stemming from actions during the early days of its stablecoin cryptocurrency, according to Bloomberg News. The probe has implications for the cryptomarket. Tether’s stablecoin is the third largest digital asset by market cap, at $62.3 billion, according to CoinGecko, and traders often use it instead of dollars or other fiat money to buy bitcoin and other cryptocurrencies. Tether gives users a way to move funds between exchanges quickly and offers some level of protection from other cryptocurrencies’ price volatility.”

“Since nearly three years ago when the first USD Coin (USDC) entered circulation, Circle, together with Centre Consortium, have prioritized trust, transparency, and accountability. These priorities have helped USDC grow widely within the global blockchain ecosystem… With this latest reserve attestation, we are now including a breakdown of dollar-denominated  reserve assets, which are all held in the care, custody and control of U.S. regulated financial institutions and in line with laws and guidelines from our U.S. state money transmission regulators.  Indeed, as pioneers in the digital currency industry, Circle, together with Centre Consortium, have evolved a reserve management model that is more conservative and transparent than comparatively regulated digital payments systems and financial technology (FinTech) organizations.”

“PayU, the payments business of the investment group Prosus, has formed a partnership with decentralized payments protocol Celo. The pair plan to launch new stablecoin payment options for PayU’s 450,000 merchant customers using cUSD, Celo’s dollar-pegged stablecoin. Together, PayU’s clients serve millions of people across Latin America, Africa, and Southeast Asia.”

“Treasury Secretary Janet Yellen told regulators Monday that the U.S. government must move quickly to establish a regulatory framework for stablecoins, a rapidly growing class of digital currencies. A group of U.S. regulators plans to issue recommendations in the coming months for fixing any regulatory gaps around stablecoins, the Treasury Department said in a statement.”

“Coinbase is rolling out a crypto savings account that lets you earn 4% annual percentage yield (APY) by lending out your USDC (+0.01%) . The account isn’t FDIC- or SIPC-insured and functions much like other products at crypto lenders and other exchanges that regularly offer yields around 8%. The reason why Coinbase is offering a comparatively lower yield is because it doesn’t lend to “unidentified third parties,” said Thorsten Jaeckel , senior product manager at Coinbase.  Coinbase, which administers the USDC stablecoin in partnership with Circle through the CENTRE Consortium, appears to be aiming squarely for banks with its new product, touting rates “more than 50x the national average of a traditional savings account.””

“Two former PayPal workers in business and technology have launched a cross-border payment system aimed at “faster, cheaper, and more transparent payments.” In an announcement on Tuesday, fintech infrastructure firm Six Clovers said it launched its Rapid network, which connects banks, merchants and payment providers, allowing clients to transact in digital currencies and fiat. Founded by former PayPal employees Jim Nguyen and Nas Kavian and backed by venture capital firm Borderless Capital, the network is built on the Algorand blockchain and employs the technology behind stablecoins to represent fiat.”