Circle, the cryptocurrency company, has introduced a new standard that allows developers to launch an unofficial version of its stablecoin, USDC, on new networks. This “bridged USDC standard” enables a two-phase process where the token is initially controlled by a third-party developer and backed by a native version on another network. In the second phase, Circle takes control of the contracts and the token becomes directly backed by Circle’s reserves. The goal is to streamline the process of launching USDC on different networks and eliminate the need for migrations. If both parties decide to make the token official, they can seamlessly upgrade to native issuance in the future. Circle’s move aims to expand access to USDC and reduce fragmentation in the cryptocurrency ecosystem.
– Circle has launched a new standard for launching USDC on new networks.
– The “bridged USDC standard” allows for a two-phase process controlled by a third-party developer and later by Circle.
– The token produced in the first phase is unofficial but serves as a proxy to USDC in compatible ecosystems.
– Developers can seamlessly upgrade to native issuance if they choose to make the token official.
– The standard aims to eliminate the need for migrations and allow unofficial tokens to become official without swapping.
– Circle’s goal is to expand access to USDC and reduce fragmentation in the cryptocurrency space.