Circle’s USDC Stablecoin Launches zkSync Layer 2 Rollup
Circle, a fintech company and stablecoin issuer, announced that native USDC is now available in its leading layer 2 rollup, zkSync, making it accessible to developers and users without the need for bridging.
With the recent inclusion, USDC is now supported by a total of 16 blockchain networks.
USDC in zkSync
In an official blog post on April 9, Circle stated that a number of popular ecosystem applications and DeFi protocols are expected to accept zkSync’s native USDC for a variety of purposes, including payments, trading, borrowing, and lending.
Among them is Koi Finance, one of the popular zkRollup defi platforms built on zkSync Era along with decentralized exchange SyncSwap and lending protocol ZeroLend.
“We are excited to announce that native USDC is now available in zkSync and accessible to developers and users. No bridging required. Circle Mint and Circle API now fully support USDC on zkSync.”
Circle went on to highlight the benefits of utilizing native USDC in financial transactions. First, as a regulated asset, it can be fully backed and redeemed against the US dollar at any time at a 1:1 ratio, providing stability and assurance.
Second, in its native state, it can be seamlessly integrated into institutional on/off ramps like Circle Mint, streamlining the process for both institutions and users.
Compatibility also allows integration into existing applications, providing a simple solution for businesses looking to integrate stablecoin functionality into their platforms.
Native Vs. Bridged USDC
The native USDC officially issued by Circle maintains consistent 1:1 redeemability against the US dollar. However, zkSync also has a variant of USDC called USDC.e, which is essentially USDC transferred from Ethereum via a bridge mechanism. It is important to note that this bridge USDC (USDC.e) is not issued by any company.
The latest announcement comes a few weeks after Circle announced the integration of the USDC stablecoin into its zkSync ecosystem.
The post Circle’s USDC Stablecoin Lands on zkSync Layer 2 Rollup appeared first on CryptoPotato.
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