USDC

USDC was co-founded by the companies Circle and Coinbase in 2018. Circle is a financial technology company that provides digital financial services, including the USDC stablecoin. Coinbase is a leading cryptocurrency exchange platform that also collaborated on the development of USDC.

USDC is a unique stablecoin that offers several key features. It is a fully collateralized US dollar stablecoin, meaning each USDC token is backed by one US dollar held in reserve. USDC is issued by regulated financial institutions and is built on open source technology, providing transparency. Additionally, USDC is available across major cryptocurrency exchanges and platforms, offering high liquidity and usability. Ultimately, USDC aims to maintain price stability and enable fast, low-cost digital payments and financial operations.

USDC stays pegged to the US dollar by ensuring its entire supply is backed 1:1 by US dollar reserves held in banking accounts and short-term US Treasuries. The reserves backing USDC do not only contain dollars, but also other cash equivalents and short-term, high-quality, liquid assets. This allows USDC to maintain its $1 peg and provide price stability, unlike more volatile cryptocurrencies.