Circle's Game-Changer: USDC to Go Native on Arbitrum, Supercharging Cross-Chain Transfers!
Circle is set to launch its stablecoin, USDC, natively on the Arbitrum network, gradually replacing the Ethereum-bridged version, and plans to extend the Cross-Chain Transfer Protocol to more chains in late 2023.
Fintech firm Circle is set to debut its stablecoin, USDC, natively on Arbitrum by June 8, replacing the existing Ethereum-bridged version. The Ethereum-bridged version will be renamed "USDC.e" in block explorers and ecosystem apps ahead of the launch.
As the official USDC of Arbitrum, the native token is expected to gradually take over the Ethereum-bridged liquidity. Benefits of this transition include potential bridge withdrawal time reduction due to Cross-Chain Transfer Protocol (CCTP) support, future enhancements via upgradable smart contracts, and institutional on and off-ramps.
During the liquidity transition from bridged USDC to native USDC, the Arbitrum Bridge will function as usual, enabling normal transfers to and from Ethereum.
On its roadmap, Circle plans to bring CCTP to Arbitrum after the native USDC launch, allowing the stablecoin to move swiftly between Ethereum and other supported chains. This follows the announcement of CCTP's mainnet availability, which facilitates USDC's seamless flow by burning it on a source chain and minting the equivalent amount on a destination chain.
Circle intends to expand CCTP to more chains in the latter half of 2023.
