Circle (NASDAQ: CRCL), the issuer of the USDC (CRYPTO: USDC) stablecoin, is reportedly looking to bridge the gap between crypto and traditional finance by adding a reversibility mechanism for its stablecoin.
What Happened: Circle president Heath Tarbert said in the Financial Times the feature would allow counter-payments, similar to credit card refunds, instead of directly unwinding transactions.
Such a move would mark a major cultural shift in crypto, where immutability has long been a defining principle.
Circle is piloting its institutional grade blockchain Arc, which also includes features like encrypted transaction values to make USDC more appealing to banks and asset managers.
Also Read: Bitcoin Tumbles To $111,000: Bear Market Beginnings Or Still A Bull Market Dip?
Why It Matters: With $74 billion in USDC in circulation, Circle is positioning itself at the heart of a potential "stablecoin gold rush."
Goldman Sachs projects USDC's supply could grow by 40% annually through 2027.
Critics argue Arc's centralization undermines blockchain's original vision of eliminating intermediaries.
BitMEX co-founder Arthur Hayes noted that dollar-pegged stablecoins could become a central tool for U.S. monetary policy, absorbing trillions in offshore deposits and reshaping global finance.
He has also argued that U.S. Treasury Secretary Scott Bessent may use stablecoins to redirect eurodollar flows and Global South retail deposits into U.S. debt markets.
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