Fake CircleMetals Platform Impersonates USDC Issuer With Tokenized Gold Scam

A press release circulated on Christmas Eve falsely claimed that Circle, the issuer of the USDC stablecoin, had launched a new platform called CircleMetals offering tokenized gold and silver trading. Circle has since confirmed that the announcement was fake and that it had no involvement with the platform, according to statements provided to CoinDesk.

The fraudulent press release, distributed on Dec. 24 when many U.S. businesses were operating with reduced staff, described a service that allegedly enabled 24/7 swaps between USDC and supposed gold and silver tokens named GLDC and SILC. It claimed the assets were backed by COMEX-linked liquidity and even promised users a 1.25% reward paid in a token called CIRM. However, CoinDesk could not find any evidence that the CIRM token exists, nor are GLDC or SILC listed on any major crypto data platforms.

The CircleMetals website, which has since been taken offline, asked users to connect their crypto wallets in order to trade the alleged precious metals tokens. Security experts widely warn that connecting wallets to unverified websites can expose users to scams and wallet-draining attacks. CoinDesk also found no indication that any legitimate financial institution or regulated entity was involved in the platform.

Adding to the deception, the press release used Circle’s branding and falsely quoted company executives, including CEO Jeremy Allaire. A Circle spokesperson explicitly confirmed to CoinDesk that the website and platform were not real. Following the report, Circle posted a warning on X urging users to stay alert, verify the legitimacy of requests, and exercise extreme caution when asked to connect their wallets.

The article promoting CircleMetals first appeared on a community forum that has since been deleted, before spreading through other websites and crypto-focused PR distribution channels. A PR agency named FinaCash reportedly pitched the story to Chainwire, which removed the release after conducting further compliance checks.

The incident highlights ongoing risks in the crypto industry, where fake press releases and impersonation scams continue to target users by exploiting trusted brand names and periods of low oversight.