Circle Changes Policy, Now Letting Users Purchase Select Weapons with USDC
In a move that highlights the evolving landscape of cryptocurrency regulation and compliance, stablecoin issuer Circle has updated its policies concerning transactions involving firearms and weapons. This latest amendment aims to clarify the platform’s stance on prohibited transaction types, especially in relation to legally obtained firearms, reflecting broader debates over crypto’s role in ethically sensitive areas.
Circle updates its USDC stablecoin terms to explicitly restrict transactions related to firearms and weapons.
The new policy states the platform has the right to monitor and block such transactions if they violate applicable laws.
Users have noted that the update seems to permit firearm purchases in regions where it is legally permissible, raising questions about enforcement.
Some US lawmakers and gun advocates have welcomed the move, citing support for Second Amendment rights.
It remains unclear whether this policy change is influenced by recent US legislation or broader industry trends.
Circle, a leading issuer of the USDC stablecoin, recently revised its terms of service to explicitly address transactions involving firearms and weapons. Previously, the platform reserved the right to monitor and prevent transactions related to illegal activities, but the updated language now clearly states that transactions involving firearms, ammunition, explosives, and other weapons can be blocked if they contravene applicable laws.
Updated USDC terms. Source: Circle
It’s uncertain how strictly Circle previously enforced restrictions on firearm-related transactions, or whether such limitations existed since the launch of USDC in 2018. Industry observers suggest that this is a significant step toward aligning the platform’s policies with evolving legal standards and increasing oversight of transactions linked to sensitive sectors.
In response to inquiries about the policy change, a Circle representative has yet to comment. Nevertheless, the update has garnered praise from several U.S. lawmakers and advocates of gun rights who see it as a move to support Second Amendment rights within the growing crypto economy.
“After discussions with Circle, I’m glad they now allow legal firearm purchases using its stablecoin. By aligning its terms of service with existing legal requirements, Circle defends constitutional rights and ensures financial systems can’t be weaponized against law-abiding gun owners,” said Wyoming Senator Cynthia Lummis on X (formerly Twitter).
Stablecoin Regulation in the United States: Backdrop and Impact
It remains speculative whether Circle’s recent policy update was a response to political pressures or a strategic move to strengthen ties with certain US policymakers. Notably, during Donald Trump’s administration, Congress passed legislation such as the GENIUS Act in July, establishing clearer regulatory boundaries for payment stablecoins. Leading stablecoin issuers, including Circle’s CEO Jeremy Allaire and Tether’s Paolo Ardoino, actively participated in the legislation’s signings, signaling industry engagement with evolving regulatory frameworks.
This development underscores the increasing importance of crypto regulation in the US, especially as lawmakers continue to shape policies around DeFi, NFTs, and broader cryptocurrency markets. As the landscape becomes more regulated, companies like Circle appear to be proactively adjusting their policies to align with legal standards and public expectations, fostering a more trustworthy environment for users and regulators alike.
This article was originally published as Circle Changes Policy, Now Letting Users Purchase Select Weapons with USDC on Crypto Breaking News – your trusted source for crypto news, Bitcoin news, and blockchain updates.
Filed under: News - @ November 5, 2025 8:34 pm