Circle Touts Latin America to Drive Stablecoin Adoption

With the increase in digital payments solutions in Latin America (LatAm), Circle the issuer of the USDC stablecoin has touted the region to drive the adoption of stablecoin as global stablecoin settlements top $7 Trillion.

According to its report quoting global payment giant MasterCard, Circle says over half of Latin American consumers have used digital currency to make a purchase, and one-third have utilized stablecoin for their daily transactions.

Stablecoin Settlements are half those of MasterCard and Visa

Also, the reports revealed that stablecoin settlement topped $7 trillion in comparison to $14 trillion made by Visa and MasterCard in 2022. The company also anticipates that in the near future, regulated blockchain-based financial services will onboard millions of businesses and billions of people. Thereby, making it a viable alternative to traditional financial institutions.

The increased adoption of blockchain technology is driven by the potential for greater accessibility, especially for the 1.7 billion underbanked individuals worldwide who have access to smartphones. This shift is expected to further disrupt traditional financial systems.

Latin America Leads Race for Adoption of Stablecoin

As blockchain infrastructure continues to mature rapidly, there are indications that it is ready to accommodate even greater economic activity in the near future, both in Latin America and globally. With a strong market demand, policy support, and widespread use of the dollar, Latin America is well positioned for increased adoption of stablecoins.

Recall that Maximiliano Hinz, a top official at Binance Latin America claimed that customers from the region made up the majority of the exchange’s expanding customers. Hinz attributed this to the political chaos, unemployment, and poverty, and the inflation rate in the region. 

Circle Bags Multiple Deals

In November, it was announced that Circle was in talks with experts and advisers in preparation for a potential Initial Public Offering (IPO) in 2024. Some people familiar with the matter claimed that the firm is mulling the idea of going public again after an initial plan in 2022 has failed. 

Aside from the potential IPO, Circle has other projects and collaborations that are currently performing well. Three months ago, Seychelles-headquartered top cryptocurrency exchange OKX announced a new partnership with Circle.

Also, Circle recently rolled out a tool dubbed “Smart Contract Platform,” aimed at enabling developers to eliminate the intricacies associated with developing Web3 applications.