Barclays backs FinTech startup Circle in UK rollout

Barclays has confirmed its support for digital currency firm Circle as it launches in the UK.

The bank has become the first in the UK to form a partnership with the US-headquartered company, which operates a social payments app run partly on bitcoin’s blockchain network.

According to a Reuters report, the Treasury called the move a “major milestone” in the drive to make the UK the ‘FinTech’ capital of the world.

The Circle app allows users to send not only written messages along with transfers, but also GIF animations and emoijis, like China’s AliPay and WeChat Pay apps.

Boston-based Circle’s CEO Jeremy Allaire, who founded the business with fellow entrepreneur Sean Neville, commented: “The founding vision for Sean and I was that money should work the way the internet works.

“This is the thing that I think we’re all learning from the Chinese: that this merging of messaging, media and payments together really makes sense to people.”

Circle is currently supported by $76m in venture capital, with backers including investment firm Digital Currency Group and investment banking giant Goldman Sachs.

A spokesperson for Barclays commented: “We support the exploration of positive uses of blockchain that can benefit consumers and society.”

As part of its partnership with Barclays, Circle is now capable of storing pound sterling for its UK customers, giving users the option of making transfers from any UK bank account using the Circle app.

Harriet Baldwin, the Economic Secretary to the Treasury, said: “Circle’s decision to launch in the UK, and the firm’s new partnership with Barclays are major milestones.

“They prove our decision to introduce the most progressive, forward-looking regulatory regime is paying off and cements our status as the world’s FinTech capital.”