This became possible thanks to its new multi-chain partner - the Algorand blockchain.
As part of an initiative to introduce the USD Coin (USDC) stablecoin to other blockchains, it became available within the Algorand network. And this is in addition to the fact that it is an Ethereum-based token, which means it is by default compatible with other projects related to it.
The USDC offer on Algorand gives the stablecoin tier 1 scalability and also boosts the speed to 1,000 transactions per second at roughly 1/20 cent each. This is what was discussed in the official press statement of the project representatives.
The founder of Algorand Inc, Silvio Micali, said: “This is a defining milestone for both simple payments and more complex financial applications. This collaboration will combine the convenience of stablecoins with the capabilities of an extended protocol for global financial exchange, in which additional Level 1 smart contracts are as simple and secure as ordinary payments. ”
USD Coin was launched in 2018 as a USD pegged stablecoin powered by the Ethereum blockchain and managed by the Center Consortium. And in 2020, this company presented its Multichain USDC platform to the public, which will allow them to launch their stablecoin on other blockchains in addition to the existing one.
"This extension will provide the flexibility inherent in USD Coin for new DeFi projects as well as large financial institutions." - Coinbase CFO told Alesia Haas. "Today's launch will significantly improve the scalability of the USDC, increase its utility and further adapt it to solve real-world financial problems."
By the way, the co-founders of the Center Consortium are well-known cryptocurrency exchanges - Coinbase and Circle. And the popularity of stablecoin has already allowed it to reach a market capitalization of $ 1 billion.
Published on the EXBASE based on materials from cointelegraph.com