Circle’s USDC issuance falls 3 billion from Binance stablecoin conversions

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Circle’s USDC issuance falls 3 billion from Binance stablecoin conversions
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Everyone is feeling the squeeze. Circle, the company behind the issuance of USDC, says recent events have caused it to miscalculate its financial projections — referring to the collapse of FTX and a decision by rival exchange Binance.

The S-4 is a registration statement is a document that companies fill out and submit to the SEC before merging, taking over another company or providing an exchange offer.

“We estimate that up to $3.0 billion of the $8.3 billion decline in USDC in Circulation from June 30, 2022 to September 30, 2022 was driven by the auto conversion by Binance.” The first S-4 filing was submitted to the SEC in Aug. 2021, in which Circle planned to merge with capital markets firm Concord Acquisition. However, Concord decided to delay the merger in Oct. 2022 until “no later than Jan. 31, 2023.”

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