Circle Makes Major Announcement To Customers

According to sources, Circle, the company behind the USDC stablecoin, has notified customers of a major change.

The company notified customers via an email sent out on Tuesday, October 31 that it would be closing all individual accounts—individuals can no longer mint USDC on the platform.

However, minting will still continue, and the company has confirmed that institutional accounts can still mint USDC and will not see their accounts closed.

Coin Telegraph provided an excerpt from the email sent out to Circle customers:

“Circle is phasing out support for legacy consumer accounts and has notified individual consumers of this decision. Account closures do not apply to business or institutional Circle Mint accounts.”

Here’s what the crypto community is saying in response to Circle’s latest announcement:

Circle is shutting down redemptions of USDC for “consumer” accounts.

That means only institutionalized investors will be able to mint and redeem USDC.

Circle is basically making USDC non-redeemable just like the Tether fraud.

So much for open money.

H/t @Evan_ss6 pic.twitter.com/wBHs5vJrvi

— Bitfinex'ed 🔥🐧 Κασσάνδρα 🏺 (@Bitfinexed) October 31, 2023

The next step is USDC will stall institutionalized redemptions as much as possible.

— Bitfinex'ed 🔥🐧 Κασσάνδρα 🏺 (@Bitfinexed) October 31, 2023

Breaking News: Circle is phasing out individual consumer accounts, but business and Mint services will remain. The move is part of a broader strategy to focus on enterprise and institutional customers. #Crypto #Web3 pic.twitter.com/EYZuWuETCo

— Ayman (@Ayman_Tweets) October 31, 2023

💼 Circle, a digital currency platform, is discontinuing consumer accounts to focus on business mint accounts 📈🏦 The move allows Circle to provide better services for corporate customers & stay ahead in the digital currency industry. What do you think about this shift? 💭

— Moonner (@Moonner_Crypto) October 31, 2023

The Block added:

Circle rival Tether still supports individual consumer accounts, but with a minimum limit of $100,000.

“Tether allows both individuals and corporate customers to participate in its primary market for issuances and redemptions,” Tether CEO Paolo Ardoino told The Block.

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