Circle, the issuer of USD Coin (USDC), has released an accountant-verified report on its holdings of financial reserves backing over $44.5 billion in tokens currently in circulation.
The Circle’s December 2022 reserve report, reviewed by the GrantThornton accounting group, analyzes the current composition of the stablecoin issuer’s reserve vault. According to Circle, 44,553,543,212 USDC is currently backed by 44,693,963,701 USD held in custody accounts.
It is worth noting that a significant portion of the latter amount is invested in various US Treasuries. According to Timothy Singh, Circle’s vice president of accounting, the fair value of assets in the USDC Reserve is the total outstanding balance of U.S. dollar-denominated assets, including a mix of cash and government bonds.
Circle’s Reserve Fund is registered as a government money market fund. The fund’s equity interest is wholly owned by Circle and includes 14 different US Treasury securities worth more than $23.5 billion. The fund also holds $48.9 million in cash, but he has $33 million more to pay into the fund, offset by “timing and settlement differences.”
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Another two US Treasury bills worth $10.5 billion are reported in a separate reserve asset category, as is another $10.5 billion in cash held by many financial institutions on behalf of Circle.
U.S. banks that hold Circle’s cash reserves include Bank of New York Mellon, Citizens Trust Bank, Customers Bank, New York Community Bank, Signature Bank, Silicon Valley Bank and Silvergate Bank.
Circle and payment platform Ripple were prominent attendees at a workshop focused on cryptocurrencies and blockchain held at the World Economic Forum in Davos in January 2023.
Circle’s vice president of global policy, Corey Then, said the organization is working with policy makers, traditional businesses, technology companies, and humanitarian organizations to uncover the potential of using USDC as a payment solution in the future. said he had a conversation with
Over the past two years, Circle’s position as a stablecoin issuer has grown steadily, with USDC becoming the second most used USD-backed stablecoin after USDT Tether.