Quppy Wallet now supports the USDC crypto currency
USD Coin, or USDC, is a cryptocurrency created by Centre, a non-profit consortium that was founded by Coinbase and Circle. Its mission is to “provide governance and standards for the future digital financial ecosystem.”
The USDC cryptocurrency equally values the US dollar and acts as the “US dollar for the crypto ecosystem.” USDC thus maintains a relatively constant value being strongly connected to the US dollar.
What is a stablecoin?
Stablecoins represent cryptocurrencies with their value being linked to real financial and material assets such as the US dollar or gold. The goal of stablecoins is to present a cryptocurrency that fights the volatility of the most popular cryptocurrencies.
By minimizing the volatility, stablecoins provide an alternative more suitable for everyday use. Stablecoins facilitate international payments with minimal transaction costs, self-storage, and a balance of traditional fiat currency stability and crypto-like advantages.
What is USDC?
USDC is a stablecoin. As the name suggests, the value of USDC is economically linked to the US dollar, where each stablecoin attempts to maintain a value of $1.
USDC originally ran on the Ethereum (ETH) blockchain. However, it currently works on the Algorand and Solana networks and it supports more networks over time. USDC allows users to tokenize the US dollar, making it usable on blockchains, crypto exchanges, and other transactions. In addition, USDC tokens are convertible into US dollars. It is a vital component of the crypto world that significantly influences DeFi (decentralized finance) and other financial instruments.
Who creates and issues USDC?
USDC is created and issued by the Center consortium, which is a partnership between Circle and Coinbase. Circle is a financial technology company that provides a range of services and products, including a peer-to-peer payment platform and a cryptocurrency trading platform. The company was founded in 2013 and is headquartered in Boston, Massachusetts.
In 2018, Circle received a license from the New York State Department of Financial Services, allowing it to offer its services in New York State. In addition to its core payment and merchant services, Circle is also a co-founder of the CENTER consortium, which partners with Coinbase to develop and promote the use of the USDC stablecoin.
How does USDC maintain its peg?
Created by Circle and Center, the open source fiat stablecoin infrastructure serves as the basis for the USDC design.
USDC is fully backed by reserves and can be exchanged for US dollars at a 1:1 ratio. It maintains its binding using a simple provisioning method. Each coin is pegged to $1. Accordingly, there is a $1 reserve for each coin used.
Circle even has a trust and transparency website that you can visit to track USDC reserves and audit reports.
What are the USDC main characteristics?
USDC is audited monthly by one of the world’s leading accounting firms. Since its inception, USDC Circle has published monthly audit reports through Grant Thornton, one of the world’s leading accounting firms. Audits prove that users can access a volume of fiat-backed reserves equivalent to the total turnover of USDC.
USDC is regulated by the US Financial Crime Enforcement Network. As a provider of financial products and services, Circle is a legally recognized business in the United States. As a result, it is regulated by the Financial Crime Enforcement Network (FinCEN), which aims to combat financial fraud.
Sending dollars with USDC is faster and easier than with any traditional bank. The key advantage of USDC is that it allows the exchange of cryptocurrencies without requiring users to transfer fiat currency to and from crypto exchanges. Sending USDC is faster than sending fiat currency as payments are instantaneous and can be done around the clock. In fact, its minimal transaction fees make it cost-effective.
USDC is a stablecoin backed by real US dollars held in reserve by the issuer. This is intended to provide confidence in the value of the token and ensure that it is pegged to the US dollar. In addition, USDC is an ERC-20 compliant token built on the Ethereum blockchain, which means it follows a well-established and widely used set of technical standards.
The Quppy Team has integrated the USD Coin into the Quppy Wallet application to provide the whole range of its services with digital currencies as far as with euros and British pounds. This means that all Quppy Wallet users can now buy, sell and exchange USDC using the Quppy multicurrency IBAN account, cold and hot crypto wallets directly.