Circle’s USYC accepted as collateral by Binance for institutional clients

Published 24/07/2025, 13:34

Circle Internet Group (CRCL) announced that Binance institutional customers can now use Circle’s USYC token as off-exchange collateral for derivatives trades, according to a company statement.

USYC represents shares in a tokenized money market fund that invests in U.S. Treasuries. The token offers conversion to USDC stablecoin and will be stored through Binance Banking Triparty or with Ceffu, Binance’s institutional custody partner.

The collaboration includes native issuance of USYC on BNB Chain. Circle stated that demand for tokenized interests in U.S. Treasuries has nearly doubled since the start of 2025.

"USYC’s integration with Binance unlocks new possibilities for institutional capital efficiency," said Kash Razzaghi, Chief Business Officer at Circle. "Its near-instant redemption into USDC makes it an obvious fit for modern collateral use in digital markets."

Catherine Chen, Head of Binance VIP & Institutional, said the integration represents support for capital markets development.

USYC tokens represent shares of the Hashnote International Short Duration Fund Ltd., a Cayman Islands registered mutual fund. Circle International Bermuda Limited serves as the token administrator. The tokens are available only to non-U.S. persons as defined under the Securities Act of 1933.

Circle operates a stablecoin network and issues USDC and EURC stablecoins through regulated affiliates. Binance operates a cryptocurrency exchange with more than 280 million registered users across 100 countries.

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