Circle CEO Jeremy Allaire dismissed questions about Bitcoin's underperformance this year during a CNBC interview. CNBC interviewer Seema Mody asked why Bitcoin had lagged this year if cryptocurrency represents the future. Allaire said digital commodity prices receive little of Allaire's attention. Allaire instead emphasized non-speculative digital dollars for a future in which AI software handles money.
Allaire described digital dollars as instruments for payments, trading, lending and investing, rather than speculation. Stablecoins target a constant value of $1 and therefore do not follow Bitcoin's price fluctuations. Allaire also cited increasing activity on blockchains including Arc, which Circle introduced in September.
Allaire argued that AI agents, software capable of independently completing tasks, will conduct more economic activity. Allaire said that shift creates demand for digital dollars and blockchains designed for machines, infrastructure that Circle develops. However, Allaire supplied no figures measuring that demand.
The Office of the Comptroller of the Currency (OCC), a federal banking regulator, is completing rules under the GENIUS Act. The 2025 law governs dollar-pegged stablecoins. Allaire said the rules reinforce the stablecoin sector's position, while other cryptocurrency sectors may still face questions. Allaire said the rules directly affect Circle, which issues USD Coin (USDC).
Orrick said the OCC proposal would require reserves matching or exceeding the value of stablecoins outstanding. Orrick said the proposal would require redemption at face value within two business days. The proposal would also prohibit issuers from paying interest to stablecoin holders.
Allaire said bipartisan backing makes the law safe from the midterms. The law received support from 18 Senate Democrats in 2025. However, House Democrats divided 102 to 110 on final passage. Congress's broader cryptocurrency market legislation, the failed CLARITY Act, did not pass the Senate.
Banks are now seeking stablecoins, and 21 institutions have committed to establishing a joint issuer. Stablecoins face new competitors alongside federal regulation, while the broader cryptocurrency regulatory framework remains unresolved.
Circle CEO Promotes Digital Dollars Amid Bitcoin's Underperformance
BeInCryptoShare
Summary
Bitcoin breaking news: Circle CEO Jeremy Allaire dismissed Bitcoin's weak 2026 performance in a CNBC interview, pushing instead for digital dollars in an AI-powered economy. He argued stablecoins like USDC, fixed at $1, offer better utility for payments and lending than volatile assets. Circle’s blockchain Arc and demand for machine-ready infrastructure are rising. The pending GENIUS Act, which targets dollar-pegged stablecoins, is a positive sign, though wider crypto rules remain unclear.
Source:Show original
Disclaimer: The information on this page may have been obtained from third parties and does not necessarily reflect the views or opinions of KuCoin. This content is provided for general informational purposes only, without any representation or warranty of any kind, nor shall it be construed as financial or investment advice. KuCoin shall not be liable for any errors or omissions, or for any outcomes resulting from the use of this information.
Investments in digital assets can be risky. Please carefully evaluate the risks of a product and your risk tolerance based on your own financial circumstances. For more information, please refer to our Terms of Use and Risk Disclosure.