{"id":140348,"date":"2023-09-01T23:48:12","date_gmt":"2023-09-01T18:18:12","guid":{"rendered":"https:\/\/dripp.zone\/news\/?p=140348"},"modified":"2023-09-01T23:48:12","modified_gmt":"2023-09-01T18:18:12","slug":"coinbase-takes-equity-stake-in-circle-as-usdc-centre-consortium-shuts-down-crypto-news","status":"publish","type":"post","link":"https:\/\/dripp.zone\/news\/coinbase-takes-equity-stake-in-circle-as-usdc-centre-consortium-shuts-down-crypto-news\/","title":{"rendered":"Coinbase takes equity stake in Circle as USDC Centre Consortium shuts down – Crypto News"},"content":{"rendered":"
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Coinbase and Circle have redefined their relationship, according to identical announcements on the Coinbase<\/a>and Circle<\/a> blogs on Aug. 21. The two organizations jointly launched the USD Coin (USDC<\/a>) stablecoin and have until now governed the token through the Centre Consortium.<\/p>\n

The Centre Consortium \u201cwill no longer exist as a stand-alone entity,\u201d the blog past said, and governance and operations will be handled in-house. Circle will have enhanced responsibilities, including holding smart contract keys and regulatory compliance. <\/p>\n

The crypto firms attributed the move to increased regulatory clarity:<\/p>\n

\u201cCircle and Coinbase [\u2026] Have agreed that with growing regulatory clarity for stablecoins in the U.S. and around the world, the requirement of a separate governance body like Centre, is no longer needed.\u201d<\/p><\/blockquote>\n

Circle co-founder and CEO Jeremy Allaire said in an X (formerly Twitter) thread that Circle and Coinbase \u201care extending and deepening our commercial relationship, with Coinbase taking an equity stake in Circle.\u201d No value was stated for the Coinbase share. <\/p>\n

The new arrangement will increase the firms\u2019 strategic and economic alignment, the blog posts noted. Interest revenue will continue to be shared between them based on their holdings of the stablecoin. <\/p>\n

Related: Circle CEO: 70% of USDC adoption comes from outside the US<\/a><\/em><\/strong><\/p>\n

Circle and Coinbase launched USDC together<\/a> in 2018. According to CoinGecko, USDC is the second<\/a> largest stablecoin by market cap, at $26 billion, with Tether (USDT<\/a>) ahead of it with a market cap of $83 billion. Circle has been bracing for the introduction<\/a> of PayPal\u2019s new stablecoin, PYUSD, which was launched on Aug. 7. <\/p>\n

\n

1\/ Some major news from @circle<\/a> and @coinbase<\/a> on the future of $USDC<\/a> in this joint blog post from @brian_armstrong<\/a> and I (@jerallaire<\/a>). https:\/\/t.co\/uHuxeRJtiI<\/a><\/p>\n

\u2014 Jeremy Allaire (@jerallaire) August 21, 2023<\/a><\/p><\/blockquote>\n

The blog posts also announced that USDC will launch on six new blockchains in September and October. It did not specify the new blockchains, but USDC\u2019s expansion onto Polkadot, Optimism, Near, Arbitrum and Cosmos was announced in September<\/a>. <\/p>\n

Magazine: Deposit risk: What do crypto exchanges really do with your money?<\/a><\/em><\/strong><\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

Coinbase and Circle have redefined their relationship, according to identical announcements on the Coinbaseand Circle blogs on Aug. 21. The two organizations jointly launched the USD Coin (USDC) stablecoin and have until now governed the token through the Centre Consortium. The Centre Consortium \u201cwill no longer exist as a stand-alone entity,\u201d the blog past said, […]<\/p>\n","protected":false},"author":2,"featured_media":140349,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[235,203,210,234,231,232,237,238,236,233],"class_list":["post-140348","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blockchain","tag-bitcoin","tag-crypto-currency","tag-elon-musk","tag-ethereum","tag-hyperledger","tag-ibm","tag-mining","tag-nodes","tag-spacex","tag-tesla"],"_links":{"self":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/140348","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/comments?post=140348"}],"version-history":[{"count":2,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/140348\/revisions"}],"predecessor-version":[{"id":147373,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/posts\/140348\/revisions\/147373"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media\/140349"}],"wp:attachment":[{"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/media?parent=140348"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/categories?post=140348"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dripp.zone\/news\/wp-json\/wp\/v2\/tags?post=140348"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}