Financial services and blockchain company, Circle, is creating a version of its stablecoin USDC for the Avalanche blockchain. Incorporating the USDC token is supposed to be done on the Avalanche C-Chain. The token support was announced today and will allow users conduct all types of USDC transactions on the network without interacting with the Ethereum blockchain.
USDC’s Growth And Adoption
USDC has a current supply of over $40 billion in tokens. It has grown the most in its category; it also has a pool second only to USDT. Currently, it is the most widely used stablecoin on Avalanche. Over a billion USDC tokens are in circulation on the Layer-1 network.
The CEO of Circle, Jeremy Allaire, said the integration of the USD Coin was timely, declaring this a turning point for the DeFi industry, which is growing exponentially and worth billions of dollars presently. He expressed his belief that USD Coin had the most adoption in the decentralized ecosystem. He believes that the new Avalanche support will be a great help to network members in participating in the decentralized space.
The integration is not the only major news for USDC in recent times. Deel, a FinTech payroll solution provider, broadened its crypto options yesterday. Users of the payment solutions offered by Deel from yesterday can now receive their payments in USDC. To use the option, users have to own Coinbase wallets. The company feels that cryptocurrency makes payments more efficient.
USDC, which is the only stablecoin recognized by Deel, speaks volumes of the growing dominance of the token. The C.E.O of Deel, Alex Bouaziz, stated that blockchain companies do not necessarily have a central structure. They have staff all over the world, and as such, have teams all over the world. Bouaziz revealed that his company serves almost all the blockchain firms. The firm raised close to half a billion dollars in October.
Avalanche is a Layer-1 platform with smart contract capabilities. Known for its fast transactions and relatively clean mining process, it remains one of the biggest cryptocurrencies by market cap. The market cap of the token stands near $20 billion. The network’s smart contract capabilities have made it a natural competitor of the DeFi king, Ethereum.
The ever-rising value of gas on the Ethereum blockchain has seen institutions and developers begin to take note of competitors like Avalanche. In November, the C.E.O of Three Arrow Capital disclosed that he was not happy with the developments on the Ethereum network, even though he was an ardent believer in the network. Notably, his firm was one of the significant investors in specific Avalanche projects in the last months.
This year, Avalanche has launched several funds to encourage the hosting of DeFi projects on the blockchain. Its DeFi ecosystem is now worth over $10 billion. The network also integrated Tether USD last month. The foundation is steadily trying to create the best environment for DeFi development and operations. The DeFi ecosystem can only keep growing.