Fintech and crypto firm Circle has grand plans for decentralized finance (DeFi) with the unveiling of a new application programming interface for institutions.
The company behind the USDC stablecoin stated that more than $1.25 billion in USDC has been deposited into the Compound protocol as collateral — the most of any stablecoin on the platform.
It aims to harness the stablecoins growing usage and make it easier for firms to interact with the often complex nature of DeFi protocols.
DeFi API for businesses
Circle acknowledged that managing, securing, and interacting with direct network participants in DeFi is complicated and risky for most businesses. The cost and regulatory complexity of running crypto finance infrastructure can be significant, it added.
The firm’s new DeFi API will enable business and institutional users to automate USDC flows into DeFi lending markets.
“By utilizing the DeFi API, businesses will have easy and quick access to DeFi protocols where they can earn interest, governance tokens and offer that same access to their customer platforms.”
The company continued to state that with USDC, Circle Accounts, its new Circle Yield fixed-term offering, and now the DeFi API, Circle is providing businesses with a comprehensive suite of digital currency-native payments and treasury infrastructure.
There were no other technical details regarding the API aside from the fact that it will be launched for Compound Finance first. There was a link for a waiting list for those wanting to try out the new offering.
Late last month, BeInCrypto reported that Circle secured the largest investment round in crypto history totaling $440 million.
USDC supply surges
According to Circle, USDC supply has hit an all-time high of 25 billion. It also reported that there has been a total cumulative amount of $739 billion transferred on-chain to date.
Since the beginning of 2021, USDC circulation has surged by 1,823% from 1.3 billion to current levels. Comparatively, Tether’s supply has increased just 200% from 20.9 billion on Jan. 1 to 62.7 billion today.
Third place Binance USD (BUSD) has also seen impressive growth this year with a surge in supply of 725% to a record 9.9 billion.