Circle will launch native USDC on Arbitrum on June 8th.

Circle to launch USDC on Arbitrum on June 8th.

Circle will launch native USDC on Arbitrum on June 8, 2023. Arbitrum stated that this will be the official version of USDC recognized in the Arbitrum ecosystem and will eventually replace the current bridged version of USDC from Ethereum. In addition, Arbitrum also stated that it will rename the Ethereum bridged version of USDC on the block explorer to “USDC.e” before the launch of native USDC. In the future, Circle also plans to introduce Cross-Chain Transfer Protocol (CCTP) to Arbitrum.

Benefits of native USDC include full preservation and always 1:1 redemption to the US dollar, ability to deposit and withdraw through Circle and other partners for institutional users, upcoming support by CCTP to eliminate cross-chain bridge withdrawal delays, and upgradable smart contracts.

Circle may consider creating an exchange module that allows for the redemption of USDC on the L1 contract and assumes the risk after receiving 1 “USDC.e”, and then issues native USDC. This way, USDC will not have liquidity scattered between two types of USDC like on Avalanche.

Reference: https://arbitrumfoundation.medium.com/usdc-to-come-natively-to-arbitrum-f751a30e3d83

• Unprecedented demand for AI computing power, what is the role of Web3?
• Concept and Application of Threshold Signatures
• Overview of the NFTFi ecosystem

We will continue to update Blocking; if you have any questions or suggestions, please contact us!