Circle has announced the launch of USDCx, a “private” USD pegged stablecoin developed in collaboration with Aleo Network.
The asset is backed by and fully interoperable with USDC and aims to provide more confidential transactions for businesses. Although there are compliance mechanisms, Circle will have access to operational information For regulatory requirements.
According to Aleo, USDCx debuted on the testnet using Circle xReserve infrastructure services. It is a tool that facilitates the issuance of programmable digital currencies backed by verified reserves.
The design of USDCx aims to address one of the main barriers to institutional adoption. This is the exposure of financial data on a public decentralized network. In these networks, Anyone can consult about balance and movement.business use is restricted.
Aleo co-founder Howard Wu said companies “don’t want to disclose revenue or confidential information.” And he said a transparent network would “filter that data every time it’s traded.”
However, he clarified that USDCx is not completely private. Each transaction incorporates a “compliance record” that is accessible to the Circle and competent authorities upon request.
For the remaining users, Transactions appear as encrypted data. “This is not ‘personal privacy’ but banking-level privacy,” he said.
Aleo assured that USDCx has the potential to enable new business use cases from payroll. Application to financial management at confidential level Audit friendly.
CriptoNoticias reports on previous Circle developments aimed at improving utility, manageability, and traceability, including the ARC network and USDC payment reversal tools in the event of fraud.
The USDCx project, currently in the testing phase, aims to envision a scenario where programmable privacy coexists with stricter regulatory standards.
(Tag translation) Altcoin
