In a blog post, the firm announced a multi-phase wind-down wrapping up on September 30, while remaining capital will be switched over to states or countries, in line with local laws. Starting on July 8, only withdrawals will be permitted on the app.
The firm states the five-year-old product saw the demand, but that stablecoins have proven to be a better focus.
Circle spokesman Josh Hawkins told CoinDesk through email:
“Circle Pay is a popular social payment app that has noticed significant organic growth over the years across the U.S. and Europe. But now that we have USD Coin and an open, interoperable stablecoin standard through CENTRE, it makes sense to sunset our first-generation effort and transition full focus to wallet services that take a bigger step toward reaching our original vision for a free, open and transparent global payments network.”
The news arrived on the same day that CENTRE, the consortium created by Circle and Coinbase to advance USDC, started opening itself to new members.
Circle was launched in 2013 with the idea of making payments with cryptocurrency as easy as using applications like Venmo. In 2015, it became the first organization to earn New York’s controversial BitLicense.
The company released a bitcoin wallet in 2014 that could eventually lay the base for what became Circle Pay.
When the app first integrated fiat payments, CEO Jeremy Allaire told Wired in 2015: “If I say I believe in the bitcoin movement and I want to hold bitcoin instead of dollars, but a friend doesn’t necessarily care about bitcoin. Circle will convert any money that friend sends me to bitcoin.”
In 2017, Circle made withdrawals to debit cards from the Pay app free.
The firm has initiated cost-cutting measures in prevailing months, including 30 layoffs in May.