Circle Denounces Platform Offering Tokenized Precious Metals as 'Fake'

A purported press release circulated on December 24 announced the launch of CircleMetals, a platform allegedly enabling 24/7 swaps of USDC for tokenized gold and silver. However, a Circle spokesperson has confirmed that the release is 'fake'. The platform, which was promoted under the name CircleMetals, claimed to offer a new service allowing users to swap USDC for gold and silver tokens backed by COMEX-linked liquidity, with a reward of 1.25% in $CIRM tokens for using the platform. The website, which has since been taken down, prompted users to connect their wallets to enable swapping, a practice generally considered risky. The release used Circle's branding and quoted executives, including CEO Jeremy Allaire. Following the incident, Circle has warned users to be vigilant and verify the legitimacy of requests, especially when connecting their wallets. The press release was distributed via crypto-focused PR wires and included links to a swap platform, but the legitimacy of the tokens and the involvement of any financial institution could not be verified. The incident highlights the importance of verifying information, especially when dealing with financial transactions and unverified websites.