Previously released to function as an alternate solution for traditional fiat business accounts for Internet-based ventures, most recent updates for the Circle Business Account are targeting a new rival – DeFi. 

Specifically, Circle reportedly disclosed details regarding its Circle Business Account service on March 10th this year. 

The account reportedly comes with a wide range of services, particularly built to assist firms in leveraging USDC, including APIs that have the power to establish connection to traditional payment rails, accept dollar-denominated payments as USDC, a USDC wallet service, as well as tap into numerous e-commerce marketplaces. 

Nonetheless, taking into account the yields stablecoins like USDC are able to issue in DeFi protocols, account holders would have increased incentive to select a different location to keep their stablecoin funds. 

On November 5th, Circle reportedly rolled out new high-yield accounts, which makes keeping funds in CeFi an idea that makes sense. The terms and rates will reportedly fall somewhere around the open-term 8.5% APY accounts, to the 12-month 10.75% APY accounts. 

Furthermore, the accrual of the yields will reportedly be carried out and paid on a daily basis, opposite of how traditional business accounts tend to select the monthly or yearly approach, ultimately bringing the accounts closer in line with numerous DeFi lending protocols, offering interest in a real-time manner. 

The final result is reportedly a solution, which is a combination of the attractive yields and delivery of DeFi interest with the brand-based guarantees of centralized finance. 

“Centralized and decentralized apps can be combined to create new types of economies and to encourage more people to use DeFi […] By combining DeFi and CeFi, we can make the transition from a centralized world to a decentralized world more smoothly and, ultimately, win the age-old battle between DeFi and CeFi.” Raoul Milhado, Head of Elitium, further remarked.