Jack Ma-backed Ant Group eyes USDC stablecoin for own blockchain: Report

Jack Ma-backed Ant Group is reportedly working with USDC issuer Circle to bring the stablecoin to its blockchain, according to a Bloomberg report published Thursday, citing anonymous sources.

The report said Ant Group plans to incorporate USDC (USDC) into its blockchain after the stablecoin becomes compliant in the US. The timeline for the integration is unknown.

The news follows recent reports that Circle has applied to establish a national trust bank in the US that, among other responsibilities, would oversee the firm’s USDC reserve on behalf of its US issuer. The US Senate also passed the stablecoin regulation bill, the GENIUS Act, in mid-June, which would provide legal clarity for stablecoin issuers.

Ant Group’s interest in stablecoins is not new. Earlier this month, the firm collaborated with Chinese e-commerce giant JD.com to lobby the People’s Bank of China (PBOC) to approve Chinese yuan-based stablecoins.

Circle did not respond to a request for comment from Cointelegraph.

Related: Many see stablecoins soaring to $2T in ‘handful’ of years: Ripple CEO

Ant Group’s blockchain efforts

Ant Group — formerly Ant Financial and best known for operating the Alipay super-app — is the fintech affiliate of e-commerce behemoth Alibaba, backed by Jack Ma. The firm processes more than $1 trillion annually in payments and now operates treasury, cross-border settlement and tokenization services on its proprietary AntChain blockchain.

According to reports last month, Ant International plans to apply for stablecoin issuer licenses in Singapore and Hong Kong. At the end of last year, layer-1 blockchain Sui and Ant Digital were reported to be working together to tokenize real-world assets with a focus on assets in the environmental, social and governance space.

Related: South Korean bank stocks surge on stablecoin trademark filings

Circle keeps growing

Circle has been expanding its global presence amid increasing regulatory clarity. With the GENIUS Act progressing through Congress and the rival STABLE Act reportedly sidelined, the company has launched several new initiatives.

On Tuesday, Circle partnered with major cryptocurrency exchange OKX to enhance liquidity for conversions of its USDC stablecoin to the US dollar with the launch of feeless conversions. Shares of Circle also became the largest weighting in VanEck’s digital asset corporate index in late June.

In mid-June, Coinbase Derivatives partnered with clearinghouse Nodal Clear to bring Circle’s USDC stablecoin into US futures markets as eligible collateral.

Circle CEO Jeremy Allaire also said last month that it won’t be long before stablecoins reach the level of developer attraction that the iPhone achieved. “The highest utility form of money ever created,” he said, referring to stablecoins.

Magazine: Bitcoin vs stablecoins showdown looms as GENIUS Act nears