Circle Shuts Down Consumer Accounts
Circle discontinues consumer Circle Mint accounts, strengthening institutional services while guiding users to stablecoin access through retail partners.
Circle, the issuer of stablecoins like USDC and EURC, is ending support for legacy consumer Circle Mint accounts as of November 30, 2023. This move consolidates Circle’s focus on institutional clientele, leaving consumer services in the capable hands of strategic retail partners worldwide.
“Account closures do not apply to business or institutional Circle Mint accounts,” confirmed a company spokesperson, marking a clear direction in Circle’s operational focus. Consumers looking to mint Circle’s stablecoins will need to transition to other platforms, with Circle CEO Jeremy Allaire highlighting Coinbase as an excellent alternative for accessing USDC without fees.
Allaire addressed the community, dispelling rumors and urging users to ignore misinformation. He clarified that Circle has operated on an institution-only basis for years, and the only change affects a few thousand individual accounts still open with the company.
In contrast to Circle’s new policy, Tether continues to support individual consumer accounts, maintaining a $100,000 minimum limit. This strategy allows Tether to implement rigorous due diligence for KYC/AML compliance. Tether remains the leading stablecoin issuer with a total supply of around $91 billion for USDT, while Circle follows with about $27 billion for USDC.
On the global stage, Circle has been making significant strides. The company recently secured a Major Payment Institution (MPI) license from Singapore’s Monetary Authority, enabling Circle Singapore to offer digital payment token services. CEO Allaire acknowledged this as a vital advancement for regulated digital currencies in Singapore and the broader Asian region.
Additionally, Circle is expanding its European footprint, with plans to establish its European headquarters in Paris, drawn by France’s supportive stance towards crypto and its ambition to position itself as a global hub for Web3.
In conclusion, Circle’s strategic shift away from consumer accounts underscores its commitment to institutional services and global growth. While individual users are directed to retail partners for stablecoin services, Circle continues to pave the way for digital currency innovation and regulatory compliance.
