Bitcoin Forum

Leading cryptocurrency firm Binance has become the latest exchange to list the USDC stablecoin.

In a statement, the cryptocurrency exchange indicated that trading of the USDC and bitcoin (USDC/BTC) pair, as well as the Binance token and the USDC (USDC/BNB) pair, will commence on November 17. Depositing the stablecoin which is pegged on a one-to-one ratio with the US dollar has, however, already started.

https://twitter.com/binance/status/1062902529011281920

USDC, which is an ERC-20 token on the Ethereum network, was launched by cryptocurrency exchange Coinbase and Goldman Sachs-backed crypto firm Circle last month. After the launch, it was immediately available for purchase, sale, sending or receiving on the Coinbase platform as CCN reported.

Besides seeking to supplant the monopoly-like hold that the oldest USD-pegged stablecoin Tether (USDT) has on the crypto ecosystem, Coinbase indicated at the time that USDC would contribute towards a more transparent financial system across the globe:

“The advantage of a blockchain-based digital dollar like USDC is easier to program with, to send quickly, to use in dApps, and to store locally than traditional bank account-based dollars. That’s why we think of it as an important step towards a more open financial system.”

CCN | https://www.ccn.com/binance-the-latest-exchange-to-list-goldman-sachs-backed-usdc-stablecoin/

Goldman Sachs backed........good reason to avoid it then.

It's backed by both Goldman Sachs and JPMorgan, which is a toxic combination, but that applies to Bitfinex with it's USDT as well. Coinbase at least easily let's you cash out USDC to fiat, which can't be said about Bitfinex.

The positive side of USDC is that it will swallow USDT's market share, and the less of a deal that token is, the better it is for everyone in the long run. It's another way to distribute your risk exposure, which isn't all that bad, right?

I wouldn't touch Bitfinex with a shitty stick either.

Do we really need all of these stable coins backed to the US dollar? It is great to have competition for tether but now we have USDT TSD gemini and others as well. We just need something that works, and does anyone even trust these investment bankers?

Do we need them? Nope. Is it allowing money to remain in the market? Yes.

Tether is so well distributed amongst a wide variety of exchanges, that people not ever going to cash out to fiat, make sure they keep liquidity in this market rather than it flowing out of the market. People mostly aren't interested in the process of verifying themselves to cash out, they much rather utilize their stable tokens to buy the coins they want whenever they believe the time is right.

Exchanges know this, which means that if they manage to sell like $100 million in stable tokens, probably 25% of them will never be redeemed. Easy profit = incentive to create more stable tokens.

I don't like them either, but there is no point in fighting something you have no control over, it's a waste of time. My only advise to people is to avoid them.

Anyways, currently people are widely using Tether, so such coins that are pegged on the US dollar are in demand. I think that the USDC backed by Goldman Sachs and JPMorgan will become a strong competitor to the USDT. By the way, there is also an ERC20-token TUSD on the Ethereum blockchain. It is tied to the dollar too. Now traders can choose between these coins and diverse their funds in stable crypto currencies.