TLDR Circle unveils USDCx, a privacy-enhanced USDC stablecoin built on Aleo blockchain New token provides banking-level privacy while maintaining full regulatory compliance Testnet live now with mainnet launch scheduled for late January Built using Circle’s xReserve platform for interoperable USDC-backed tokens CRCL shares surged 6% to above $89 on the news Circle just solved a [...] The post Circle (CRCL) Stock Climbs as Privacy Stablecoin USDCx Launches on Aleo appeared first on Blockonomi.TLDR Circle unveils USDCx, a privacy-enhanced USDC stablecoin built on Aleo blockchain New token provides banking-level privacy while maintaining full regulatory compliance Testnet live now with mainnet launch scheduled for late January Built using Circle’s xReserve platform for interoperable USDC-backed tokens CRCL shares surged 6% to above $89 on the news Circle just solved a [...] The post Circle (CRCL) Stock Climbs as Privacy Stablecoin USDCx Launches on Aleo appeared first on Blockonomi.

Circle (CRCL) Stock Climbs as Privacy Stablecoin USDCx Launches on Aleo

2025/12/10 20:36

TLDR

  • Circle unveils USDCx, a privacy-enhanced USDC stablecoin built on Aleo blockchain
  • New token provides banking-level privacy while maintaining full regulatory compliance
  • Testnet live now with mainnet launch scheduled for late January
  • Built using Circle’s xReserve platform for interoperable USDC-backed tokens
  • CRCL shares surged 6% to above $89 on the news

Circle just solved a problem that’s kept major financial institutions away from blockchain payments. The USDC issuer partnered with Aleo to launch USDCx, a privacy-focused stablecoin that hides transaction details while staying compliant with regulations.

Traditional blockchains expose all payment data publicly. That’s a nonstarter for banks and enterprises handling confidential financial information. USDCx changes the game by keeping wallet addresses and transaction details private.

The stablecoin went live on Aleo’s testnet Tuesday. Mainnet deployment is expected by end of January. Circle shares jumped 6%, trading above $89 following the announcement.


CRCL Stock Card
Circle Internet Group, CRCL

Josh Hawkins, EVP at Aleo, says demand is strong from existing users and newcomers. Use cases include secure global payroll, remittances, and even national security applications. Companies can now send payments without revealing employee income or spending patterns.

Corporate Stablecoin Race Heats Up

The launch comes as Wall Street races into stablecoins following the US GENIUS Act. The new regulatory framework created clear rules for dollar-pegged tokens.

Citigroup partnered with Coinbase to test stablecoin payment rails. JPMorgan and Bank of America are running early trials. Western Union is building a settlement system on Solana.

Aleo raised $28 million from a16z and Coinbase Ventures in 2021. The network uses zero-knowledge proofs to enable private transactions while maintaining compliance capabilities. Circle can still provide records to regulators or law enforcement when required.

xReserve Powers Multi-Chain Strategy

USDCx runs on Circle’s xReserve platform. The infrastructure allows blockchains to create their own USDC-backed stablecoins that interoperate with native USDC.

Canton blockchain launched the first xReserve-powered USDCx last week. Aleo is the second network using the platform. This approach unifies liquidity across different blockchains.

Circle isn’t stopping there. The company is building Arc, a layer-1 network designed specifically for stablecoins. Following its June IPO, USDC market cap nearly doubled to over $78 billion in the past year.

Taurus also developed a private smart-contract system for stablecoins aimed at corporate payments and payroll. Visa recently expanded its stablecoin offerings due to growing competition.

USDC and Tether’s USDt control roughly 85% of the stablecoin market. Other dollar-linked tokens include synthetic dollars and PayPal USD. Aleo co-founder Howard Wu says institutional interest in privacy-focused stable assets is accelerating as companies weigh blockchain benefits against transparency risks.

The post Circle (CRCL) Stock Climbs as Privacy Stablecoin USDCx Launches on Aleo appeared first on Blockonomi.

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