- USDC.e, bridged from Ethereum, consolidates various USDC forms on Fantom, enhancing ecosystem utility and developer accessibility.
- Integration via Wormhole Native Token Transfers enables seamless cross-blockchain token movement, offering projects comprehensive control and security.
The Fantom Foundation has initiated the launch of USDC.e, a stablecoin powered by Wormhole and based on Circle’s Bridged USDC Standard, for use on the Opera blockchain and in Fantom’s Sonic technology projects.
We are excited to announce that Fantom's canonical stablecoin, $USDC.e, will launch tomorrow (April 5), supported by @Circle and @Wormhole 🎉
USDC.e on Wormhole is bridged from native $USDC, located in a smart contract on Ethereum, and holds the potential to be upgraded to… pic.twitter.com/wr9hp83HPH
— Fantom Foundation (@FantomFDN) April 4, 2024
This introduces USDC.e as a version of USDC bridged from Ethereum, establishing it as the fundamental stablecoin within the Fantom ecosystem and unifying different versions of USDC previously available.
The integration utilizes Wormhole’s interoperability platform to introduce USDC.e as a token backed by USDC, with the foundation ensuring its liquidity for developers and users through Wormhole-based bridges for transferring USDC.e to Fantom.
Related: Fantom Sonic: Boosting Transaction Speeds and Finality for Fantom Blockchain
The incorporation of USDC.e into Fantom leverages Wormhole Native Token Transfers (NTT), allowing for token transfers across blockchains without the need for liquidity pools. This gives projects complete control over the characteristics of their tokens across different blockchains, including the token standard and custom features, while maintaining strong security measures.
This initiative aims to enhance the ecosystem’s utility, providing developers with new opportunities to interact with Fantom. It also marks the introduction of the first bridged USDC standard outside of Ethereum L2s, suggesting a pathway for its future as a native USDC on Fantom.
Read more: Fantom’s FTM Emerges as Top Performer: Sonic Upgrade Fuels Investor Interest
Benefits of Canonical USDC.e on Fantom
The implementation of USDC.e on Fantom offers several advantages:
- It sets the stage for a possible native USDC stablecoin on Fantom.
- It makes bridged USDC.e immediately accessible to developers and users on Fantom, incorporating the capability for future USDC upgrades.
- It addresses the issue of fragmented stablecoin liquidity, enhancing the ecosystem’s strength and user experience.
- Future Prospects for USDC on Fantom
Following the deployment of bridged USDC.e on Fantom, there is a possibility for Circle and the Fantom Foundation to upgrade it to a native USDC format. This transition would be seamless, not requiring any interventions from developers or users. The collaborative effort of Circle and Wormhole promises consistent access to stablecoin liquidity on the Fantom Network.
This collaboration between Circle, Wormhole, and Fantom illustrates a collective approach to overcoming the hurdles of cross-chain communication and liquidity, making decentralized finance (DeFi) more cohesive and accessible across various platforms.
