<p><span style="font-size: 10pt;"><em><span style="font-weight: 400;">Rachel Mayer</span> </em></span><br /> <span style="font-size: 10pt;"><em><span style="font-weight: 400;">VP of Product<br /> </span><span style="font-weight: 400;">Circle</span></em></span></p> <p><img class="alignnone wp-image-123674" src="https://www.tbstat.com/wp/uploads/2021/11/unnamed-450x450.jpg" alt="" width="108" height="108" /></p> <p><b>Institutional-grade digital asset exposure</b></p> <p><span style="font-weight: 400;">Last month, </span><a href="https://www.theblockcrypto.com/post/121987/institutions-invest-in-fixed-rate-crypto-yield"><span style="font-weight: 400;">I wrote about</span></a><span style="font-weight: 400;"> how corporate treasurers and institutional fund managers are exploring digital assets to maximize cash returns in an environment of historically low interest rates. Against that backdrop, Circle Yield is becoming a more popular way for cash and portfolio managers to get fixed-term digital asset upside without having to invest directly in bitcoin, ether or other cryptocurrencies.</span></p> <p><span style="font-weight: 400;">I want to share an example of how one client — noted entrepreneur and crypto advocate Kevin O’Leary¹</span><span style="font-weight: 400;"> </span><span style="font-weight: 400;">— is using Circle Yield at his venture firm, O’Leary Ventures. O’Leary followed the digital asset space for years, but stayed on the sidelines until recently. After hiring a team to help him build out a digital asset strategy, he evaluated the landscape and allocated a portion of the venture firm’s balance sheet into Circle Yield.</span></p> <p><b>A shrewd investor spots his opportunity</b></p> <p><span style="font-weight: 400;">What won him over? First off, Circle Yield is specifically designed for institutions. It’s a fixed-term security offered under a clear regulatory framework, with a rate that’s much higher than what’s available from banks and many <a href="https://www.circle.com/blog/fixed-income-investing-and-the-role-of-usdc-yield">fixed income</a> markets, plus a choice of terms ranging from one month up to a year.* It’s also overcollateralized, with all underlying bitcoin collateral held by a third-party custodian that serves more than 400 institutional clients.</span></p> <p><span style="font-weight: 400;">O’Leary was also drawn to the currency that underpins Circle Yield. It’s built on <a href="https://www.circle.com/en/usdc">USD Coin (USDC)</a>, a full-reserve dollar digital currency that’s highly</span><span style="font-weight: 400;"> liquid in markets around the world. USDC</span><span style="font-weight: 400;"> i</span><span style="font-weight: 400;">s fully backed by cash and equivalents and short-duration U.S. Treasuries, so that it is always redeemable 1:1 for U.S. dollars. </span></p> <p><span style="font-weight: 400;">O’Leary Ventures’ allocation into Circle Yield has been so successful that several of the venture fund’s portfolio companies are now considering similar investments. <a href="https://www.circle.com/blog/how-accredited-businesses-can-earn-apy-on-crypto-with-circle-yield">Earning above-market returns</a> can be a powerful way to extend cash runway, enabling them to do more without needing to raise additional capital. And with terms as short as one month, the portfolio companies earn these superior returns without locking working capital away long-term so they can retain operational flexibility.</span></p> <p><b>In his own words</b></p> <p><span style="font-weight: 400;">“This is the new asset class. Circle Yield was the right choice, and it works because the team is very focused on compliance. Circle Yield is one of the best catalysts to the success of O’Leary Ventures in the digital asset world.” — Kevin O’Leary </span></p> <p><span style="font-weight: 400;">To learn more about </span><a href="https://hubs.li/H0-PCL40"><span style="font-weight: 400;">Circle Yield</span></a><span style="font-weight: 400;">, book a meeting with one of our digital asset experts today.</span></p> <p><span style="font-weight: 400;">¹</span><span style="font-weight: 400; font-size: 8pt;">Kevin O’Leary has invested in and is currently a stockholder of Circle Internet Financial Limited.</span></p> <p><span style="font-weight: 400; font-size: 8pt;">Offering subject to business approval, geographical availability~, and regulatory authorization, and there is no guarantee that the product will become available in a specific timeframe or to a specific customer or geography. Yield product offered through Circle International Bermuda Limited (“Circle Bermuda”). It is anticipated that Circle Bermuda will enter into lending arrangements with one or more institutional borrowers, including Genesis Global Capital, LLC** These lenders pledge and transfer Bitcoin into custody with a third party custodian as collateral for their USDC borrowings and Circle Yield investors benefit from a security interest in Circle Bermuda’s security interest in the pledged Bitcoin. </span></p> <p><span style="font-weight: 400; font-size: 8pt;">Circle is not a bank; your Circle Account is not a bank account, and any funds are not insured by the Federal Deposit Insurance Corporation, the Securities Investor Protection Corporation or by any US or foreign government agency, insurance fund, person or entity. For investors in the United States, investments described in this communication are offered by Circle Bermuda to “accredited investors” only in accordance with Regulation D, Rule 506(c) of the Securities Action of 1933, as amended. While Circle Bermuda is regulated by the Bermuda Monetary Authority for digital asset business, Circle Bermuda is not engaged in banking and deposit taking activities and is not regulated for these purposes. You should carefully conduct your own investigations and analyses in connection with any participation in this product, including its objectives, risk factors, fees and expenses and the information set forth in these materials. All prospective participants in the products described herein are advised to consult with their legal, accounting and tax advisers regarding any potential participation. Please read the offering documents carefully before you invest. Additional information is available upon request. </span></p> <p><span style="font-weight: 400; font-size: 8pt;">~Not currently available in the following U.S. states: Alaska, Minnesota, New York and Hawaii.<br /> </span><span style="font-weight: 400; font-size: 8pt;">*Rates are purely indicative and are subject to change pending availability, approval and market conditions. Withdrawal requests for fixed term accounts could take up to 72 hours in high withdrawal periods and will be subject to an early withdrawal penalty. <br /> </span><span style="font-size: 8pt;"><span style="font-weight: 400;">**Learn more about Genesis Global Capital, LLC </span><a href="https://genesistrading.com/"><span style="font-weight: 400;">here</span></a><span style="font-weight: 400;">.</span></span></p> <p>&nbsp;</p> <p><span style="font-weight: 400;"> </span></p><br /><span class="copyright"><p>© 2023 The Block Crypto, Inc. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.</p> </span>