Circle introduces USDC minting on Polygon, expediting DeFi transactions and improving global payments by lowering fees.
The Circle stablecoin issuer has unveiled its latest initiative to mint USD Coin (USDC) directly on the Polygon scaling protocol for Ethereum layer-2. This innovation facilitates the process for users and developers by removing the need to connect the Ethereum stablecoin to another blockchain.
USDC Enables Instant Transactions
Circle’s Mint and developer APIs now support Polygon-based USDC with this new offering. With USDC on Polygon, enterprises, and developers can now create decentralized applications. Additionally, this integration promises near-instantaneous transactions with low fees.
These capabilities are essential for various applications, including payments and remittances, trading, borrowing, and lending. Prior to this announcement, consumers relied on USDC bridged (USDC.e) from Ethereum’occupying the blockchain.
However, Circle did not issue this token. The newly introduced offering, in contrast, guarantees redemption at a 1:1 ratio with the U.S. dollar. Moreover, Circle had previously enabled deposits and withdrawals for USDC.e on Polygon via Circle Mint and its APIs.
On November 10, Circle will discontinue this service. They warn users that transmitting USDC.e to Circle Mint after this date may render their assets unretrievable.
Polygon-Based USDC Enables Transfers of Ethereum
The integration of Circle and Polygon is poised to revolutionize the landscape of decentralized finance (DeFi). Circle is paving the path for affordable global payments and remittances by offering Polygon USDC. It also facilitates access to popular DeFi protocols such as Aave, Compound, Curve, Uniswap, and QuickSwap.
Additionally, Circle has plans to implement a cross-chain transmission protocol on Polygon. This will promote interoperability with other blockchain networks, substantially enabling Polygon-based USDC transfers between Ethereum and other blockchain networks.
In related news, Circle made headlines in September when it announced native stablecoin liquidity access on the ecosystem of the NEAR protocol. Circle Account and Circle APIs now provide access to USDC NEAR, signaling a significant step toward enhancing the stablecoin’s usability and accessibility across multiple blockchain networks.
