What is USD Coin (USDC)?

USD Coin (known by its ticker USDC) is a stablecoin that is pegged to the US dollar 1:1. Each unit of this cryptocurrency in circulation is backed by $1, which is held in reserve, a mixture of cash and short-term US government bonds. The Consortium Center behind the asset says USDC is issued by regulated financial institutions.

stablecoin originally launched in September 2018. Simply put, USD Coin's mantra is "digital money for the digital age" — and stablecoin is designed for a world where cashless transactions are increasingly common.


Who are the founders of USD Coin?

The Consortium Center has two founding members. One of them is the company providing peer-to-peer payment services Circle, and the other is the cryptocurrency exchange Coinbase. Other crypto businesses can join this consortium.

Circle co-founders Jeremy Allaire and Sean Neville explained the rationale behind the USDC, writing: “We believe that an open internet of value exchange can further transform and integrate the world, eventually removing artificial economic borders and enabling a more efficient and inclusive global marketplace. that connects every person on the planet."



What makes USDC unique?

The stablecoin market has become extremely crowded in recent years – but USD Coin has struggled to stand head and shoulders above the competition in several ways.

One of them is about transparency – and giving users the confidence that they will be able to withdraw 1 USDC without any problems and get $1 in return. To this end, it states that the main accounting firm is tasked with verifying the cash levels that are in the reserve and ensuring that they correspond to the number of tokens in circulation