Circle: Measures taken to reduce risk in banking system, most reserves held in one of the GSIBs

Circle disclosed "How the USDC Reserve is Structured and Managed" in a blog post. According to the article, about 80% of USDC reserves are short-term U.S. Treasury bonds, and about 20% are cash deposits in the U.S. banking system. Circle said it has taken steps to reduce risk in the banking system after a number of recent bank failures and has now parked the majority of the cash portion of its reserves in one of the world's 30 systemically important banks, also known as GSIBs. Circle also holds small amounts of funds with transaction banking partners to support USDC liquidity operations. USDC reserves are held in segregated accounts, and even if Circle goes bankrupt, USDC will not be part of the bankruptcy estate.