• Circle currently holds 80% of its reserves and treasuries, and is looking to keep all cash with the Fed.
• The company has no plans to move its headquarters and praised Singapore for having a “measured approach” towards crypto regulation.
• Circle has recently acquired in Taiwan, looking to expand its presence globally.
Circle’s Reserves and Payment Rails with the Fed
Circle’s Asia-Pacific vice president Raagulan Pathy said that the company currently holds 80% of its reserves but would ultimately like to keep all cash with the Fed in light of the recent banking crisis.
After the Silicon Valley Bank crash, Circle announced a new banking partnership with Cross River and an expansion of its ties with BNY Mellon. Pathy stated that Circle would also like to use payment rails from the Federal Reserve due to their reliability.
Pathy commented on the regulatory regimes of other countries like Singapore, which he praised for having a “measured approach” towards cryptocurrency regulation. He highlighted Circle’s significant presence in Singapore as well as an acquisition in Taiwan, noting that Circles is on a globalization path.
US Regulatory Landscape
When discussing US regulations, Pathy noted that they are “extremely fluid.” Companies have increasingly targeted Singapore as a crypto-friendly destination in terms of regulation and prospects for innovation while the US has been cracking down on cryptocurrencies more heavily.
In conclusion, it appears that Circle is focused on establishing more banking partnerships globally while utilizing favorable regulatory environments such as those found in countries like Singapore in order to provide better services for users worldwide.