#Circle Acquires Hashnote#

Circle has acquired Hashnote, a tokenized real-world asset issuer, which is the issuer of the USYC token, valued at $1.3 billion. This acquisition marks another example of how the two crypto trends of stablecoins and tokenization are becoming increasingly intertwined. Circle aims to integrate USYC with its flagship stablecoin, USDC, enabling convertibility between cash and yield-bearing collateral on the blockchain. The acquisition will also propel USYC as a form of collateral on exchanges and custodial platforms, facilitating seamless transfers between decentralized and traditional markets.Circle has also announced a deal with Cumberland, a cryptocurrency trading firm and market maker affiliated with DRW, to provide liquidity and facilitate settlement for USDC and USYC. In addition, Circle has plans to deploy USDC on Canton Network, a blockchain designed for traditional financial institutions to trade real-world assets. Integration with Canton will enable continuous liquidity between cash and collateral, facilitating seamless transfers between decentralized and traditional markets. This acquisition highlights the synergy between two of the hottest trends in crypto: stablecoins and tokenization. Stablecoins, a $200 billion crypto asset class whose value is primarily pegged to the U.S. dollar, are crucial infrastructure for tokenization efforts. They serve as a bridge between fiat currency and digital assets, and are widely used to settle transactions on the blockchain rails. Tokenized RWAs like treasury bills and money market funds are rapidly gaining favor among sophisticated investors and asset managers as collateral for trading. Unlike traditional markets, blockchain-based assets promise transparency, accessibility, and 24/7 settlement. Treasury-backed tokens also allow investors to earn yield while they are used as trading collateral or margin, resulting in higher returns compared to trades collateralized with fiat or stablecoins.