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Circle Internet Group has announced a collaboration with Binance that will allow the exchange's institutional clients to use Circle's USYC token as off-exchange collateral for derivatives trades.
The partnership enables institutional customers to hold USYC, described as one of the world's leading tokenised money market funds, and deploy it as collateral whilst maintaining yield opportunities modelled after traditional financial market practices.
USYC will be custodied with supporting banks through Binance Banking Triparty or with Ceffu, Binance's institutional custody partner. The token will also be natively issued on BNB Chain, designed to provide users with more seamless access to explore tokenised traditional assets.
The collaboration comes as demand for tokenised interests in US Treasuries has nearly doubled since the start of 2025. USYC offers near-instant fungibility with USDC, enhancing capital efficiency by allowing users to move between tokenised cash and Treasuries in near-real time.
Kash Razzaghi, Chief Business Officer at Circle
"USYC's integration with Binance unlocks new possibilities for institutional capital efficiency. Its near-instant redemption into USDC makes it an obvious fit for modern collateral use in digital markets," said Kash Razzaghi, Chief Business Officer at Circle.
Catherine Chen, Head of Binance VIP & Institutional
Catherine Chen, Head of Binance VIP & Institutional added: "We're committed to building secure, accessible, and capital-efficient offerings for institutions. The integration of USYC into Binance's trading environment represents a major step forward in our support for the future of capital markets."
Each USYC token represents a digital share of the Hashnote International Short Duration Fund Ltd, a Cayman Islands registered mutual fund. Circle International Bermuda Limited, licensed by the Bermuda Monetary Authority as a digital asset business, serves as the fund's token administrator.
Circle is a global financial technology firm that issues USDC and EURC stablecoins through its regulated affiliates and provides financial and technology services for integrating stablecoins and blockchains into business operations.
Binance operates the world's largest cryptocurrency exchange by trading volume and registered users, serving more than 280 million people across 100+ countries.
