Circle Internet, (CRCL) is examining ways to reverse transactions that involve its stablecoin, USDC, The Financial Times (FT) reported Thursday.
The issuer of the second largest Stablecoin is “thinking about … whether or not there is the reversibility of transactions,” said company president Heath Tarbert, in an interview with El Periódico.
Stablecoins, tokens linked to the value of a traditional financial asset (traditions), such as a fiduciary currency, are an important gear in the cryptocurrency machine, which offer users a coverage against volatility that tokens such as hitting tokens as and . They also find popularity as a method for international payments. The sector has a market capitalization of approximately $ 300 billion, according to data traced by Coingcko. Only USDC has a market capitalization of $ 74 billion; The USDT of the Market Tether market leader has $ 173 billion.
Tarbert said that allowing transactions to be reimbursed in case of fraud or disputes, similar to what is possible in tradfi, would help push the stable to the mainstream.
Such development can rub certain cryptographic purists in the wrong way, because they consider that the purpose of the settlement is not negotiable. The introduction of the possibility of reverting transactions could depend on the arbitration of a central authority, which many believe is the antithesis of decentralization found in the core of cryptocurrency.
“At the same time, we want the purpose of the settlement,” Tarbert said. “So there is an inherent tension between being able to transfer something immediately, but that is irrevocable.”
Circle has been at the forefront of the growing adoption of Stablecoins in the United States this year after its successful initial public offer (IPO) in June.
The company did not immediately respond to Coindesk’s request to make more comments.
