Circle Internet Financial on Friday introduced the Perimeter Protocol, an open-source smart contract codebase, to facilitate the creation of tokenized credit markets.
In a blog post, Circle elaborate on Perimeter’s versatility in supporting various credit use cases, including invoice factoring, payroll advances, instant settlement for merchants, and credit trading for institutional investors.
“Today we are also announcing Circle Research’s inaugural contribution – Perimeter Protocol, a new standard for credit facilitation on the internet. Perimeter Protocol is a set of smart contracts built on open standards to enable the seamless exchange of capital on secure, open and public networks,” Circle stated in its blog.
On Friday, Circle also organized an invite-only event “Circle Forum NYC” where business leaders, builders, and policymakers will discuss the future of blockchain ecosystem. The day began with Circle Co-founder and CEO Jeremy Allaire made a keynote address.
“Perimeter is flexible enough to accommodate a wide range of credit use cases, from invoice factoring for small and medium sized businesses, to institutional crypto credit for trading opportunities, global payroll advances or instant settlement capabilities as part of merchant processing,” the company behind USDC stablecoin said.
The accompanying white paper is publicly accessible, allowing developers to freely use and build upon the codebase.
This release also marks the debut of Circle Research, a new division within the company dedicated to open-source development. The move aligns with the growing trend of integrating traditional financial instruments, particularly credit, into blockchain-based applications—a process often referred to as the tokenization of real-world assets (RWA).
