Stablecoin issuer Circle has declared that it will not hold treasury bonds that will expire after the beginning of June, amid concerns that the United States will not be able to pay its debts.
USD Coin (USDC) CEO of issuer Circle Jeremy Allaire by news agency to Politico In the statement, the US debt cannot pay It was stated that long-term bonds will be sold out of concern. Emphasizing that US politicians cannot agree on raising the debt ceiling, Allaire said that the US government debt at risk of default claimed to be confronted.
Looking at Circle’s financial reports, from 31 May It does not appear that any US government debt that is due afterward is held in-house.
Jeremy Allaire, Circle’s because he wants to avoid debt risk He stated that he disposed of the treasury bonds that would expire after the beginning of June.
We do not want to risk risk through a potential breach of the US government’s ability to pay its debts.
Currently, Democrats and Republicans in the US legislature 31 trillion dollar borrowing limit It has been in dispute over an upgrade, and the treasury is implementing special measures to meet its obligations.
On the other hand, it seems that Circle is not the only one to avoid this uncertainty created by the congress. Accordingly, according to data presented by Bloomberg, 23 May yield on futures treasury bills is approx. 4.2%on the way back to June 13 yield on futures bond 5.5%rose to .