Jack Dorsey’s TBD Partners Circle To Support Global Mainstream Adoption Of USDC

TBD, a subsidiary of Jack Dorsey’s payment firm Block, has partnered with Circle to collaborate on open standards and open-source technologies to enable the mainstream adoption of digital currencies in payments and financial applications globally. TBD will support cross-border remittances and self-custody of USDC stablecoin.

Jack Dorsey’s TBD and Circle to Support USDC Cross-Border Transfer and Savings

Jack Dorsey’s TBD, in a tweet on September 29, announced a partnership with Circle to support cross-border remittances and self-custody of USDC stablecoin. The Bitcoin-focused subsidiary of payment company Block aims to enable mainstream adoption of digital currency in payments and financial applications globally.

“We’re partnering with Circle to solve some of our biggest money challenges, including decentralized, global on-and-off-ramps between fiat and crypto worlds that can power global use cases from cross-border remittances to self-custody of stablecoins.”

Emily Chiu, chief operating officer at TBD, believes Bitcoin might become a reserve currency in the future, challenging the dominance of the U.S. dollar. Whereas, stablecoins will be the bridge between them.

TBD will support USDC stablecoin for various use cases that make it easy for developers to build on Block’s tbDEX protocol and its Web5 decentralized identity platform. The use cases include connecting traditional payments to digital assets for consumers and businesses, real-time and low-cost remittances globally, and self-custody wallets for USD-backed stablecoins.

Inflation and monetary tightening by the U.S. is depreciating currencies of countries including Argentina and Turkey. Stablecoins have become an alternative for savings and remittances.

TBD aims to support remittances first between the U.S. and Mexico. Countries such as India, Mexico, and the Philippines are the largest recipient of remittances in the world. Mexico accounts for 95% of remittances originating from the U.S.

USD Coin Losing Market Cap Against USDT

Circle’s USD Coin (USDC) stablecoin is losing market cap against Tether’s USDT stablecoin. The USDC market has dived below $50 billion and is currently at $48.80 billion.

New partnerships such as with TBD will help increase USDC adoption and may recover its market cap. Meanwhile, stablecoins are under increased liquidity risk amid the Federal Reserve’s hawkish rate hikes.