Circle, ACI Worldwide to test USDC settlement in Colombia’s banking system

Circle and ACI Worldwide have announced a USDC settlement proof of concept in Colombia, seeking to demonstrate how financial institutions can use dollar-backed stablecoins within their existing banking and payment operations.

According to the companies’ October 27 announcement, the project will combine Circle’s USDC infrastructure with ACI Connetic, a cloud-based platform that manages transactions across different payment systems. Colombia will serve as the initial market, drawing on ACI’s existing role in the country’s Bre-B instant payments network.

The collaboration remains an exploratory project. Neither company announced a live USDC settlement connection to Bre-B, identified participating banks or provided a launch date for commercial transactions.

Circle and ACI Worldwide bring USDC into existing payment systems

The planned implementation will examine how banks can incorporate stablecoin settlement into processes they already use for payments, treasury management and transaction oversight. ACI Connetic brings conventional payment methods, card transactions and digital assets together through a single platform.

Instead of requiring financial institutions to replace their current systems, the companies intend to demonstrate how USDC settlement could operate alongside established payment rails. Banks would be able to assess the technology within familiar operating structures while considering their governance and settlement requirements.

Craig Ramsey, ACI Worldwide’s global head of account-to-account payments, said financial institutions want practical ways to introduce digital assets without disrupting their current operations.

“The conversation around stablecoins is moving from possibility to practicality,” Ramsey said, describing the collaboration as an opportunity to examine stablecoin settlement through infrastructure banks already trust.

Circle Chief Commercial Officer Kash Razzaghi said financial institutions across Latin America are increasingly interested in incorporating stablecoins into existing payment environments. He described the project as a way to explore USDC settlement while maintaining connections to traditional financial infrastructure.

Colombia’s Bre-B network provides the starting point

Colombia was selected because ACI developed the central infrastructure supporting Bre-B, the country’s interoperable instant payments ecosystem. The network enables account-to-account transfers between participating financial institutions using infrastructure established with Banco de la República, Colombia’s central bank.

ACI’s responsibilities include the addressing directory, round-the-clock clearing and settlement engine, and interoperability services connecting participating providers. Its existing technical involvement gives the company experience with the country’s domestic payment arrangements.

In March, ACI reported that Bre-B had processed more than 500 million transactions during its first five months, demonstrating substantial use of the underlying national system.

That historical volume belongs to Bre-B’s conventional payments infrastructure. The new collaboration has not reported any USDC transaction volume, settlement value or customer activity.

The distinction is important because the companies are evaluating an additional settlement method, not announcing that existing Bre-B transactions have moved onto a blockchain. Their statement leaves the precise technical connection, participating institutions and settlement arrangements unspecified.

Circle expands USDC infrastructure across Latin America

Circle’s interest in Colombia follows its continuing work with banks and payment providers seeking access to digital-dollar settlement.

In a recent expansion assessment, crypto.news reported on Circle’s plans to enter approximately 40 emerging and developing markets. CEO Jeremy Allaire identified Latin America among the regions where the company sees demand, although Circle had not disclosed individual launch schedules or licensing arrangements for those markets.

Colombia already has other stablecoin-related financial products. MoneyGram introduced a Visa card in September, allowing eligible customers to hold dollar-linked balances, spend through Visa and access local cash services.

The MoneyGram offering concerns consumer payments, while the Circle-ACI project focuses on how financial institutions might organize settlement within existing banking systems.

Meanwhile, Circle’s bank-led USDC services with Standard Chartered have provided eligible institutions with access to digital-dollar custody and transfers through established financial channels.

USDC settlement project leaves commercial rollout details open

ACI Connetic supports multiple payment networks and digital asset providers, according to the companies, allowing financial institutions to evaluate different settlement methods through one orchestration system.

The announcement does not identify which banks will participate in Colombia, whether USDC transactions would involve domestic or cross-border transfers, or how conversion between USDC and Colombian pesos would operate.

It does not specify whether settlement would occur directly on a public blockchain or through an intermediary arrangement, nor does it provide expected transaction fees or processing times.

For comparison, an October stablecoin remittance study documented differences in transaction costs and payout completion across countries and providers. Its reported results concerned existing services and cannot establish the economics of the proposed Colombian implementation.

Circle and ACI said the initiative will help institutions evaluate settlement arrangements that combine conventional payment networks with digital assets. Neither company announced a commercial deployment schedule, committed transaction volumes or named financial institutions taking part in the proof of concept.