Circle acquisition Hashnote, promoting the seamless conversion of tokenized cash USDC and the currency market fund USYC

Stablecoin issuer Circle announced the acquisition of the largest tokenization market fund issuer Hashnote and partnered with market maker DRW to promote the application of USDC and USYC in TradFi and the cryptocurrency market. At the same time, it announced the deployment of native USDC in Canton.

Hashnote invested by Cumberland Labs

Hashnote is a startup founded in 2022, focusing on the operation of institutional-grade decentralized finance (DeFi) platforms. In the seed round of financing in 2023, it received a $5 million investment from Cumberland Labs.

According to the data from rwa.xyz, Hashnote is the issuer of the world's largest tokenization currency market fund USYC, with a deployment of over 1.25 billion US dollars. Far surpassing the BUIDL issued by BlackRock through Securitize, and the FOBXX issued by Franklin.

Integrating USDC and USYC allows seamless access to tokenization cash and money market funds

Circle plans to fully integrate USDC with USYC, providing seamless access between the tokenization money market fund (TMMF) collateral and one of the most popular stablecoins globally, USDC. This will make USYC the preferred form of yield collateral for cryptocurrency exchanges, custodians, and major brokers.

Circle CEO Jeremy Allaire said: "The integration of USYC and Hashnote into the Circle platform marks an important moment in the development of the stablecoin market, as cash and interest-bearing short-term Treasury assets become substitutable and exchangeable at the speed of blockchain and the crypto capital market. For a market increasingly driven by institutional adoption, this is a major release, with participants increasingly expecting market structures common in TradFi. We helped invent tokenization of cash, and now we are leading in the tokenization of currency markets, which we believe is crucial for the future of the global financial system. The strategic partnership with Circle's acquisition of Hashnote and our affiliated company Cumberland with DRW is crucial for the large-scale promotion and delivery of these products."

Circle and DRW strategic cooperation

The transaction has received the support of a strategic partnership with DRW, and DRW, through its subsidiary Cumberland, has become one of the largest institutional cryptocurrency traders. As the flagship product of its trading business, Cumberland will expand the institutional-grade liquidity and settlement capabilities of USDC and USYC where permitted. Cumberland's expertise and use cases will help drive innovation in the use of these products, resulting in more efficient and seamless collateral management.

Deploy native USDC on Canton

Circle also announced plans to deploy native USDC on Canton, a leading public blockchain for fully private and secure financial applications. Canton has issued over $3.6 trillion in RWA and over $1.5 trillion in monthly repo agreements and has gained usage and support from major traditional banks, trading firms, asset management companies, and exchanges. Canton already supports USYC, and the integration of native USDC will enable seamless 24/7/365 conversion between collateral and cash for use in the TradFi market.

This article CircleacquisitionHashnote promotes seamless conversion of tokenized cash USDC and currency market fund USYC, first appeared in ChainNews ABMedia.