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Matrixport Users Can Now Settle International Wire Transfers In USDC

Matrixport Users Can Now Settle International Wire Transfers In USDC

May 19, 2021 at 04:29PM
by PYMNTS

Asian crypto neobank Matrixport has formed a partnership with global FinTech Circle to allow for international bank wire transfers to Matrixport accounts, with automatic settlement in USDC, Matrixport announced Wednesday (May 19).

Those funds can be used to trade and invest in cryptocurrencies, Matrixport said in a news release. The bank allows investors to buy cryptocurrencies that include Bitcoin, Ethereum and Litecoin. Investors in Matrixport can also earn interest each year on deposits, starting at 11 percent annual percentage yield on crypto investments.

The companies say their partnership provides a starting point for investors who are looking to explore the cryptocurrency landscape.

“We constantly strive to provide our customers with simple and effective ways of getting into the crypto investment landscape,” Maxtrixport Co-Founder and CEO John Ge said. “Adding Circle to our payment infrastructure offers our users around the world a streamlined way to go from bank to crypto quickly and securely, relying on USDC as a core treasury and settlement infrastructure.”

The companies say their partnership is happening during a surge in demand for the USDC digital currency, with more than $16 billion worth of USDC in circulation, a 400 percent increase since the start of 2020.

“Stablecoins help facilitate investment, payments and settlement in the broader cryptocurrency market, with the total crypto market cap up more than 200% since the beginning of 2021,” the news release says.

“We have continued to see huge growth in the crypto sector and by partnering closely with Matrixport, this gives Circle a unique opportunity for reaching customers in Asia and around the world,” said Circle Co-Founder and CEO Jeremy Allaire.

Stablecoins, like Circle’s USDC, are a reliable medium of exchange, Allaire told PYMNTS in a recent conversation, pointing to their regulatory-compliant standards and the fact that they are backed by dollars. Plus, running on blockchain allows USDC to reach “hundreds of millions of users,” he said, and eliminates the need to convert digital currencies into fiat to settle transactions.

In addition to the new partnership, Circle also announced a new hire this week, with Mandeep Walia joining the company as chief compliance and risk officer. Walia comes to Circle from Novi, part of Facebook Financial.