Puerto Rico-based FV Bank has partnered with stablecoin issuer Circle so its customers can receive USD Coin (USDC) deposits into their accounts, with the aim of making international transfers easier and cheaper for its customers.
Circle will instantly convert the USDC that bank clients receive into U.S. dollars at time of deposit, FV Bank said in a blog post. The internationally focused digital bank said these stablecoin deposits will make cross-border transactions easier.
"This allows FV Bank account holders to raise invoices to their international clients in USDC and receive it without worrying about wallets, conversions, fees etc," the company said.
FV Bank, regulated by Puerto Rico's Office of the Commissioner of Financial Institutions (OCIF), provides digital banking and digital-asset custody services. The bank will be responsible for ensuring compliance of USDC transactions as the funds move from users' crypto wallets to their bank accounts, a chart in the blog post shows. FV's institutional and retail clients can receive USDC deposits through the Ethereum ERC-20 token or the Polygon (MATIC) blockchain.
Circle has disclosed that USDC is fully backed by U.S. dollar reserves, including cash and three-month treasuries. Several other banking-focused fintechs offer integration with USDC, including European crypto payment service BCB Group and corporate payments and financing platform Tribal Credit.
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