Circle CEO Explains Why Investors Are Avoiding Stablecoins

Circle CEO Says Investments From Stablecoins Are Flowing To Treasuries

Investment is flowing out of stablecoins into assets like US Treasuries, Circle CEO says.

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In an interview with Bloomberg, Circle CEO Jeremy Allaire said rising interest rates have led institutions to rethink how much exposure they want to crypto.

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Investors are turning to lower-risk assets like US government bonds or money-market instruments, Allaire added.

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“This is just a macro phenomenon,” Circle CEO explained.

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The market cap of USDC has dropped from a recent peak of about $56 billion to just over $42 billion.

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The market cap of USDC has dropped from a recent peak of about $56 billion to just over $42 billion.

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Allaire said he’s optimistic Circle can become a public company in the “near future.”

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