Will Ant Group’s Use of Circle’s USDC Stablecoin on Blockchain Accelerate Regulated Stablecoin Adoption Worldwide?

Ant Group Moves To Integrate USDC As Stablecoins Gain Global Momentum

Jack Ma’s Ant Group is preparing to add Circle’s USDC stablecoin to its blockchain platform, aiming to strengthen its presence in the digital currency space beyond China.

This step, planned by Ant International—the company’s global unit—awaits regulatory approval in the US before the integration can proceed.

The timing remains uncertain, but Circle’s shares jumped 3.8% in pre-market trading following news of the deal.

Why Ant Group Sees USDC As Key To Its Global Blockchain Strategy

Stablecoins like USDC have become increasingly important for global financial systems, especially after the US Senate passed the GENIUS Act in June, the first major legislation setting clearer rules for dollar-pegged digital tokens.

Circle, a publicly traded company and one of the few issuers of a regulated stablecoin, has benefited from this regulatory clarity.

The firm recently announced plans to launch a payments network for banks and financial institutions, enabling cross-border transactions using USDC.

For Ant Group, adding USDC fits into a wider ambition to bring regulated digital currencies onto its blockchain.

The company is not only targeting stablecoins but also central bank digital currencies (CBDCs) and tokenised bank deposits.

These assets increasingly support Ant’s treasury management and international payment services, especially its cross-border operations.

A Massive Blockchain Player Handling Trillions In Transactions

Ant Group processed more than $1 trillion in global transactions in 2024, with about one-third settled through its blockchain platform.

This scale of operation could position Ant International as one of the largest overseas users of a US-issued stablecoin once USDC is fully integrated.

To align with regulations, Ant is pursuing stablecoin licences in key financial hubs including Singapore, Hong Kong, and Luxembourg.

The international unit generated nearly $3 billion in revenue last year and is preparing for a potential spinoff and public listing, with valuation estimates ranging from $8 billion to $24 billion.

Can Ant Overcome Regulatory Challenges To Expand Its Reach?

Ant’s pivot to regulated digital currencies follows intense regulatory pressure after its IPO was suspended in 2020.

Since then, the company has focused on new growth areas outside mainland China.

Its blockchain platform now supports tokenised assets from over ten major banks worldwide, including HSBC, JPMorgan, and BNP Paribas.

The move to integrate USDC also comes as global regulators tighten oversight on stablecoins, concerned about risks such as sudden crashes and money laundering.

With about $250 billion in stablecoins circulating globally, reliable and compliant platforms are becoming increasingly vital.

Will USDC On Ant’s Blockchain Redefine Cross-Border Payments?

The introduction of USDC onto Ant’s platform could streamline international payments and treasury services, leveraging Ant’s existing network and blockchain capabilities.

Circle’s payment network initiative complements this, aiming to facilitate smoother cross-border settlements for financial institutions.

Ant’s blockchain has reportedly collaborated with the People’s Bank of China on the digital yuan, highlighting its role in bridging traditional finance with emerging digital currencies.

As stablecoins and CBDCs gain traction, Ant’s strategy to host multiple regulated tokens may become a blueprint for future fintech growth.