USD Coin (USDC) issuer Circle Internet Financial on Tuesday (April 12) finalized a $400 million fundraising round that’s expected to close in the second quarter of the year, which will be used to bolster Circle’s continued strategic growth.
BlackRock, Inc., Fidelity Management and Research, Marshall Wace LLP and Fin Capital are among the investors in Circle’s funding effort. BlackRock has also inked a strategic partnership with Circle that includes exploring capital market applications for USDC.
“Dollar digital currencies like USDC are fueling a global economic transformation, and Circle’s technology infrastructure sits at the center of that change,” Jeremy Allaire, co-founder and CEO of Circle, said in the company announcement. “This funding round will drive the next evolution of Circle’s growth. It’s particularly gratifying to add BlackRock as a strategic investor in the company. We look forward to developing our partnership.”
In February, Circle launched the Circle Account, allowing business customers to deposit, withdraw, send, receive, store and allocate funds to invest in digital currency. Circle cited Gartner research from December showing that 20% of businesses will use “digital currencies for payments, stored value or collateral by 2024.”
Related: Circle Intros Digital Assets Portal for Businesses
The Circle Account smooths the transition to using digital currencies, including USDC, the company said. Accredited investors can use it to allocate funds into Circle Yield to generate higher yields on their USDC by investing it into crypto-capital markets through a fixed-term investment that is secured and overcollateralized with bitcoin.
In November, Circle also announced it led U.K. firm Crowdcube’s $13.5 million funding round with an investment of $10.5 million.
See also: Circle Uses USDC to Make $10.5M Investment in UK Crowdfunding Platform Crowdcube
The global FinTech startup and stablecoin issuer has experienced significant growth in recent years, with the total number of Circle accounts estimated to grow by 229% over the next few years to more than 30,000 in 2023, according to PYMNTS.
Crowdcube is the largest startup fundraising platform in the U.K., and the strategic partnership is expected to help accelerate its fundraising around the world from the seed stage to public offering.
We’re always on the lookout for opportunities to partner with innovators and disruptors.
Learn More