What does it take for billions of AI agent transactions? Circle CEO provides the answer

Circle CEO Jeremy Allaire recently stated that stablecoins are the only system capable of supporting billions of AI agents conducting large-scale transactions. This judgment not only reflects the new demands for payment infrastructure in the AI era but also confirms Circle’s strategic deployment within the stablecoin ecosystem through a series of initiatives.

Why Stablecoins?

Unique Needs of AI Trading

AI agents differ fundamentally from traditional trading. With billions of AI agents operating simultaneously, a payment system capable of handling ultra-high frequency, low latency, and high trustworthiness is required. Traditional financial systems are limited by settlement speed and liquidity, and crypto asset price volatility makes them unsuitable as transaction mediums—only stablecoins can meet all these requirements simultaneously.

The core advantages of stablecoins are: fast settlement (on-chain confirmation within seconds), low cost (no intermediary fees), 24/7 availability (not restricted by market hours), and price stability (suitable for trading settlement). These features are essential for large-scale AI transactions.

Circle’s Practical Deployment Validates This Judgment

Recent actions by Circle have been strengthening the position of stablecoins as infrastructure:

• Bermuda On-Chain Economy: Collaborating with Coinbase to pilot stablecoin payments with government agencies, promoting USDC usage among merchants. This is an important signal of stablecoins expanding from the crypto space into mainstream economy.

• OIL1 Launch: Introducing the world’s first digital stablecoin backed by oil, built on Circle’s Arc blockchain. This indicates that stablecoins are not only payment tools but are also becoming bridges connecting traditional assets with the digital economy.

• Pundi AI Partnership: Collaborating with Vital Block to provide trusted verification for on-chain AI data assets. This directly involves data trading and asset flow necessary for AI agents.

Market Signals Confirm This

In the past 24 hours, Tether and Circle jointly issued $1.5 billion in stablecoins. While this number seems large, in the context of the AI era, it actually indicates a rapid growth in market demand for stablecoin liquidity.

Another noteworthy data point is that Circle will release its full-year 2025 financial results on February 25. As the issuer of USDC, Circle’s performance will directly reflect the growth of the stablecoin ecosystem.

What Does This Mean?

Implications for the Stablecoin Market

Jeremy Allaire’s statement essentially sets the tone for the strategic importance of stablecoins. He is not saying stablecoins “might” support AI transactions, but that they are the “only capable”—a quite definitive judgment. This demonstrates Circle’s high confidence in the future role of stablecoins.

Implications for the AI Ecosystem

If stablecoins indeed become the primary medium of exchange for AI agents, then the development speed and scale of the AI economy will directly depend on the improvement of stablecoin infrastructure. This also explains why Circle is advancing multiple initiatives simultaneously: government adoption (Bermuda), asset diversification (OIL1), and data trust (Pundi AI).

Summary

Stablecoins are evolving from initial trading hedging tools into fundamental infrastructure for the digital economy. While Jeremy Allaire’s views come from Circle executives, given the current market situation, this judgment is highly credible. The demands of the AI era for payment systems align closely with the features of stablecoins. Through initiatives like Bermuda, OIL1, and Pundi AI, Circle is actively validating this outlook. The key in the future is not whether stablecoins will support AI transactions, but which stablecoin projects will first improve infrastructure and achieve widespread adoption.