Circle, the company behind the USDC stablecoin, announced on June 1 that it will launch a native version of USDC on the Arbitrum blockchain. The new version of USDC will be “native to Arbitrum” and will be considered Arbitrum’s official version of USDC, according to Circle. The new token will launch on June 8, Circle said.
What is USDC?
USDC is a stablecoin, which means that it is a cryptocurrency that is pegged to the US dollar. This means that each USDC token is backed by one US dollar, held in reserve by Circle. USDC is one of the most popular stablecoins in the world, with a market capitalization of over $50 billion.
Why is Circle launching a native version of USDC on Arbitrum?
Circle is launching a native version of USDC on Arbitrum for several reasons. First, Arbitrum is a Layer 2 scaling solution for Ethereum. This means that it can process transactions much faster and cheaper than Ethereum itself. Second, Arbitrum is a decentralized and permissionless blockchain. This means that it is not subject to the same regulatory scrutiny as Ethereum.
What are the benefits of using native USDC on Arbitrum?
There are several benefits to using native USDC on Arbitrum. First, it will be much cheaper to use. Transactions on Arbitrum are much cheaper than transactions on Ethereum. Second, it will be much faster to use. Transactions on Arbitrum can be processed much faster than transactions on Ethereum. Third, it will be more secure. Arbitrum is a decentralized and permissionless blockchain, which makes it more secure than Ethereum.
How to migrate liquidity to native USDC on Arbitrum
To migrate liquidity to native USDC on Arbitrum, users will need to use the Circle Bridge. The Circle Bridge is a decentralized exchange that allows users to swap between different versions of USDC. To use the Circle Bridge, users will need to create a Circle account and deposit their Ethereum-based USDC into their Circle account. Once their USDC is in their Circle account, they can then swap it for native USDC on the Circle Bridge.
Conclusion
The launch of native USDC on Arbitrum is a significant development for the stablecoin ecosystem. It will make USDC more accessible and affordable for users, and it will help to grow the adoption of Arbitrum.
Other notable news about USDC
In addition to the launch of native USDC on Arbitrum, there have been several other notable news stories about USDC in recent weeks. In May, Circle announced that it had raised $400 million in a Series D funding round. The funding round was led by BlackRock, and it valued Circle at $9 billion. In April, Circle announced that it had partnered with Coinbase to offer USDC on Coinbase Custody. Coinbase Custody is a regulated custody service for digital assets.
The launch of native USDC on Arbitrum and the other recent news stories about USDC are a sign of the growing adoption of USDC. USDC is now one of the most popular stablecoins in the world, and it is used by a wide range of users, including institutions, DeFi protocols, and retail investors.
