Circle Unleashes Native USDC on Arbitrum
Circle, the developer of the USDC stablecoin, is set to launch a native version of its token on the Arbitrum network on June 8.
The native token will replace the existing Ethereum-based version, operating directly on the Arbitrum network. This move aims to enhance transaction speeds and improve interoperability within the blockchain ecosystem.
Circle plans to leverage cross-chain transfer protocols to facilitate faster transfer times and eliminate withdrawal delays.
The stablecoin market has been challenging, with companies experiencing a decline in market share.
However, Tether (USDT) has seen its market share grow, reaching a market capitalization of over $83 billion. Circle’s introduction of a native USDC on Arbitrum aims to improve transaction speeds and foster interoperability within the cryptocurrency ecosystem.
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USDC is currently the second-largest stablecoin and the fifth-largest cryptocurrency, with a market cap of $28.9 billion. In May, it briefly lost its peg to the US Dollar due to holding reserves in a collapsed bank but quickly regained stability.
As the stablecoin market evolves, Circle’s strategic decision to launch a native USDC on Arbitrum will impact its market position and the broader adoption of USDC. The new native version will streamline the movement of USDC between Ethereum and other supported chains, further enhancing its utility and potential.