USD Coin (USDC) is set to make its debut on the Celo blockchain, as announced by the Celo Foundation. The move to mint USDC on the blockchain is expected to boost the real-world use cases for Celo and enhance the convertibility of USDC into fiat currency.
USDC will join Celo’s native token, CELO, as the blockchain transitions from a layer-1 Ethereum Virtual Machine-compatible chain to the Ethereum layer-2 protocol. The Celo community will soon vote on a proposal to make USDC a gas payment currency within the ecosystem.
Previously, Mento Lab had already issued stablecoins like cUSD on Celo, alongside other stablecoins such as cEuro (pegged to the Euro), cREAL (linked to the Brazilian real), and eXOF (linked to the West African CFA franc).
Celo positions itself as part of the financial renaissance and carbon neutrality movement, with a strong emphasis on mobile technology to enhance user experiences in emerging economies. In September, the Opera web platform launched MiniPay wallet on Celo, catering to mobile phone users in Africa. Shamus Noonan, Senior Business Development Director at Circle, stated:
“This collaboration will help expand access for USDC and leverage Celo’s mobile-first user base in regions with high blockchain adoption.”
USDC is the second-largest stablecoin by market capitalization at $26.5 billion, following Tether (USDT) with a market capitalization of $96.1 billion. Circle is reportedly filed for an IPO in the United States in mid-January.