Cryptocurrencies
Circle Raises Fees Despite Rising Stablecoin Market Competition
- New fees apply to near-instant redemptions above $2 million
- Circle says fees support “availability of instant liquidity”
Jeremy Allaire, chief executive officer of Circle Internet Financial Inc.
Photographer: Nathan Laine/BloombergThis article is for subscribers only.
For the second time in less than a year, Circle Internet Financial Ltd. has increased the fees it charges to cash out holdings of its USDC stablecoin.
Redemption of USDC via the Circle Mint platform used to be free and unlimited. In February, Circle introduced a fee for swaps above $15 million. Now, there are additional fees applicable to users seeking near-instant redemption of USDC if the value exceeds more than $2 million a day. Those fees start at 0.03% per transaction at that threshold, and increase in tranches to as much as 0.1% for redemptions above $15 million.