Circle Founder Talks About the Development History and Future Prospects of Stablecoins

Circle co-founder Jeremy Allaire reviewed the company's development from its founding to the issuance of the USDC stablecoin and shared his outlook on the future of the stablecoin industry.

Allaire was originally a "shovel seller" in the Web 1.0 era, developing internet tools like ColdFusion. After the 2008 financial crisis, he began to think about a better monetary system and came into contact with cryptocurrency in 2012. He believes this is the missing infrastructure of the internet, so he founded Circle.

After the launch of USDC in 2018, Circle experienced a "gamble," betting all its resources on USDC. The outbreak of the pandemic in 2020 became a turning point, leading to explosive growth for USDC. Allaire believes that the key to the widespread adoption of stablecoins lies in infrastructure upgrades, network effects, and improvements in usability.

Currently, the reserves of USDC are mainly composed of government bonds and cash. Allaire emphasized the transparency and security of the reserves. He believes that more fiat stablecoins will emerge in the future, but US dollar stablecoins will remain at the core.

For the future, Allaire looks forward to the blockchain experiencing an "iPhone moment," achieving millions of TPS. He expects that within 10-20 years, 10% of the world's currencies may transform into stablecoin forms. Circle aims to be an important participant in this transformation.