Money isn't paper or plastic or metal, and it's certainly not ones and zeros. Money embodies trust, but what that means exactly is evolving. Given today’s era of substantial global market volatility, Circle focuses on safeguarding the trust that is so essential to money's real-world utility.
Breakthroughs and Innovation
Despite headlines about crypto crackdowns or regulatory issues, in actuality we are seeing major breakthroughs in crypto technology and adoption. Blockchain technology is continuing to innovate and iterate and become more performant, more efficient, and more global. These innovations in blockchain technology are layered on top of platforms like Ethereum, which are introducing significant scalability, security enhancements, and cost efficiency. And companies from small start-ups to global enterprises adopt and build on these innovations.
The constant development of crypto technology helps build utility to attract and onboard the next wave of users. With the kind of technology upgrades that we're seeing today, we are on a path toward a billion users benefitting from blockchain technology in the coming months.
Addressing Concerns with the Traditional Financial System
This surge in crypto adoption emerged in response to mistrust in the traditional financial system, Circle CEO Jeremy Allaire explains:
It’s important that cryptocurrencies provide solutions to the uncertainties of the traditional financial system in order to retain trust. Last year, Circle helped launch the Circle Reserve Fund, providing a high level of transparency and visibility. Today, most of the cash reserves of USDC are held with Global Systemically Important Banks (G-SIBs), which makes USDC one of the safest digital dollars on the Internet today. Circle continues to focus on de-risking to move toward a stable, decentralized future financial system.
Solving Global Issues
Another way to build trust around the world is addressing global issues with digital assets. Dante Disparte, Chief Strategy Officer and Head of Global Policy explains how Circle has demonstrated “the art of the possible” by providing digital cash assistance to refugees:
This is a prime example of how this fast, easy, and secure way of transmitting money can help achieve an inclusive and accessible financial future.
Global Expansion and Availability
The ability to provide digital cash assistance to refugees was made possible partly due to Circle’s focus on global expansion and availability. Circle is working on expanding global reach to provide digital financial services to a wider population:
Building and maintaining trust is crucial for maintaining the value and utility of digital assets. Trust can be built and maintained through continuous innovation in ways that address the downfalls of traditional financial systems, solve global issues, and increase global availability.
Here more from Circle Leadership on our Executive Insights hub.