Circle Claims to Have Cleared ‘Substantially’ All USDC Minting and Redemption Backlog

The USDC depeg caused significant turmoil in the market last week. The stablecoin issuer Circle claimed that it has cleared “substantially all of the backlog of minting and redemption requests for USDC.”

In a recent statement, Circle said it had redeemed $3.8 billion of USDC tokens over the period and minted $800 million.

• The Boston-headquartered company also went live with a new transaction banking partner for domestic US wires in and out on March 14.
• Circle further revealed going live for international wires to and from 19 countries as well with the same partner the following day. The team expects to “bring more capabilities back online” starting this week.
• Highlighting the events of the past week that affected the liquidity operations for USDC, the company said,

“Circle has worked tirelessly to re-initiate services with alternative banking partners, particularly payment and USDC redemption services. We would like to thank our customers for their patience during these unprecedented times.”

• During an earlier update, it was revealed that Cross River Bank was taking over as Circle’s commercial banking partner.
• Additionally, the company has also “expanded relationships” with other banking partners to help with USDC redemption. This included the Bank of New York Mellon (BNY Mellon), which already provides custody services for Circle’s reserves.
• Circle’s USDC is one of the market’s leading stablecoins. After losing its 1-to-1 peg to the US dollar, USDC plunged to as low as $0.88