Circle, the company behind the popular United States dollar stablecoin USD Coin (USDC), is set to launch a native version of the stablecoin on the Base network. This move will replace the current USD Base Coin (USDbC) that users have been using as a substitute. In an announcement made on August 29, CEO Jeremy Allaire confirmed that the launch will take place next week.
The Base network, launched by Coinbase on August 9, did not initially have a native version of USDC. This meant that users could not directly deposit cash into their Circle accounts and receive the equivalent USDC on Base. To address this issue, the Base team introduced an official bridge app that allowed users to bridge USDC from Ethereum. However, this required the use of a bridged coin called USDbC, which was backed by native USDC locked on the Ethereum network.
According to a blog post accompanying the August 29 announcement, Circle has already deployed the contract for the new native USDC on Base. On the day of the launch, Circle will provide details on how users can redeem their current USDbC for the new native USDC. In addition, the Circle team will collaborate with ecosystem apps to ensure liquidity providers can smoothly transition to providing liquidity for the new coin. The Base bridge that issues USDbC will continue operating as usual for the time being.
Eagerly Anticipated Launch
While Circle has not provided a specific launch date for the native USDC on Base, Allaire mentioned that it will happen sometime next week. The crypto community and USD Coin users are eagerly anticipating the launch, as it will eliminate the need for the bridged coin and allow for seamless transactions and liquidity provision within the Base network.
Base Network’s Growing Popularity
Since its launch on August 9, the Base network has gained significant traction. With over 136,000 active users on its second day, Base has quickly become a preferred choice for crypto enthusiasts and traders. The network’s user-friendly interface and efficient bridging mechanism have contributed to its rapid growth.
Base Network’s Future Plans
In a recent announcement on August 25, Base revealed its revenue-sharing model and plans to partly govern the upcoming “Superchain.” This Superchain will be a combination of Base, Optimism, and other networks. The community is excited about the opportunities that lie ahead and the potential for further collaboration and growth within the Base ecosystem.
The launch of a native version of USD Coin on the Base network marks a significant milestone for Circle and the cryptocurrency industry as a whole. With the elimination of the bridged coin and the seamless integration of USDC on Base, users can expect enhanced liquidity provision and smoother transactions. As the Base network continues to evolve and expand its user base, the future looks promising for this innovative blockchain platform.