Coinbase Has Introduced Its First Stablecoin
Coinbase has joined the other top exchanges by just introducing its very first stablecoin in what has become a listing race to add to Tetherâs rising competitors.
Starting today, Coinbase has added support for Circleâs USD Coin (USDC) which means that now, Coinbase users will be able to buy and sell the stablecoin through Coinbase.com - with the exception of those in the state of New York. Users outside of New York state will be able to send and receive the stablecoin too after the announcement details that trading for other geographies will be available in the future.
The USD Coin was first brought to light by the digital payments company Circle shortly after it purchased the Poloniex exchange. The stablecoin is a fiat-collateralised and was developed by the Centre Blockchain Consortium, an entity that Coinbase co-founded with Circle.
In a recent blog post on Coinbase posted earlier in the week titled âCoinbase and Circle announce the launch of USDCâââa Digital Dollarâ stated:
âThe underlying technology behind the USDC was developed collaboratively between Coinbase and Circle, in our capacity as partners and co-founders of the new CENTRE Consortiumâ
In the blog post, it also claims that blockchain based virtual dollar is better and more efficient than traditional banking and that itâs a crucial step in the right direction for a more open financial system. As an ERC-20 token built on the Ethereum standard, the post continues to explain that USDC is compatible with most decentralised application on Ethereum.
As reported by Bitcoin Magazine, this year has seen a relatively steady influx of stablecoin projects. As new products flood the market, exchanges like OKEx and Huobi have been very quick in adding the most notable of these. In the USDC company, these other stablecoins including the Paxos Standard, GeminiUSD and TrueUSD seem as more transparent, regulator friendly alternative to Tether.
With all the stablecoins entering the space, it's difficult not to notice the once dominant Tether see itself losing its strength in the markets with all the competition in markets.
This is the start of a far bigger development at Coinbase, who has recently announced that they are going to be adding more cryptocurrencies than ever before. Initially, Coinbase was seen as a prestigious exchange, simply because their listing process made listing cryptocurrencies quite an arduous ordeal. Now though, Coinbase have relaxed some of their policies in order to allow for bigger and better listings. We have already seen 0x added to the exchange, now, with the announcement of USDC live, we can only expect this momentum to continue.
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