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Circle, a stablecoin issuer company, announced today that it has signed a Memorandum of Understanding (MOU) with HKT, a telecommunications company in Hong Kong, to explore a collaboration aimed at developing blockchain-based customer loyalty solutions. 

The initiative seeks to leverage Circle’s Web3 technology and HKT’s merchant network to enhance customer engagement within Hong Kong's retail landscape.

The collaboration focuses on creating loyalty solutions using Web3, a decentralized digital framework that could potentially transform how consumers interact with businesses. 

By combining Circle’s Web3 Services, which include blockchain developer tools and Programmable Wallets, with HKT’s established merchant ecosystem, the two companies aim to create a secure, scalable loyalty platform. 

The intended platform could foster more dynamic engagement between merchants and consumers by streamlining the integration of digital assets and smart contracts into loyalty programs.

Circle’s co-founder and CEO, Jeremy Allaire, expressed optimism about the partnership, noting that it aligns with Circle’s goal to support businesses in harnessing blockchain technology for customer engagement.

 “This collaboration is a testament to our commitment to helping businesses unlock the potential of blockchain technology,” Allaire said, highlighting the potential for blockchain to offer innovative, value-driven loyalty programs.

HKT Digital Ventures CEO, Monita Leung, noted that the partnership aligns with HKT’s strategy to innovate within the digital economy. 

"At HKT, we are committed to driving innovation in fintech,” Leung said. “Our collaboration with Circle allows us to explore unique loyalty solutions that could enable merchants to connect more effectively with customers in Hong Kong.”

Further details on the planned loyalty solutions and potential deployment timelines have yet to be announced.