Circle to End Support for USDC Stablecoin on Tron Blockchain

Major U.S. crypto firm Circle will end support for its USDC token on the Tron blockchain network, a decision the company said on Wednesday "aligned with its efforts to ensure that USDC remained trusted, transparent and safe".

Boston-based Circle said in a blog that, effective immediately, it would no longer mint USDC tokens on Tron, a fast-growing platform widely used for transferring stablecoins whose founder is facing regulatory problems in the United States.

Circle did not give a reason for its decision but said that under its risk management framework it "continually assesses the suitability" of blockchains that support USDC, the second-biggest stablecoin after Tether.

It said institutional clients can transfer USDC held on Tron to other blockchains, or redeem the tokens with it for traditional currency, until February 2025. Retail customers can transfer USDC to other blockchains and redeem USDC at crypto exchanges and brokerages, it added.

Circle, which in January said it had filed for a U.S. initial public offering, last year terminated accounts held with it by Tron founder Justin Sun and his affiliated companies.

Sun, a prominent crypto entrepreneur, was sued last year by the Securities and Exchange Commission for allegedly artificially inflating trading volumes and selling Tron tokens as an unregistered security. Sun said the SEC charges "lack merit".

(Source: Reuters)