Breaking News: Cryptocurrency brokerage and exchange giant Coinbase, based in San Francisco, has recently approved one of the many launched USD-backed cryptocurrencies where they are planning to plant the lead as the leader of the ever-growing market of cryptocurrency industry.
According to the reports from October 23, Coinbase officially announced that their customers can now buy, sell, send and receive the USD coin which is a cryptocurrency initially launched by Circle, another major cryptocurrency firm in parallel with Coinbase.
The reports suggest that the customers of Coinbase from around the world are now able to send and receive the tokens, backed by the fiat U.S. dollars that are in bank accounts affiliated to work with the company. Coinbase.com will be the platform for all the U.S. customers, except for the ones in New York, to buy and sell the stablecoin.
However, the initial steps are underway, and therefore the token isn’t yet listed in Coinbase Pro which is the company’s book of all the cryptocurrency exchange coin listings. But the firm says that it will be added there in some weeks.
As Circle initially launched the cryptocurrency token, Coinbase explained about their intentions of merging with the giant for the stablecoin. The company stated, “The advantage of a blockchain-based digital dollar like USDC is easier to program with, to send quickly, to use in dApps (decentralized applications), 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.”
The company explains the long-term implications of a fiat-based blockchain currency and how it could benefit the e-commerce apps as well as for business purpose focusing on using crypto payment methods. It is no surprise that a growing number of marketers are looking for online crypto payment option to expand their business.
The stablecoin helps those by making payment transactions at any time of the day, and it doesn’t come with the threat of price volatility as much as bitcoin and other such cryptocurrencies. Currently, the stablecoins are used majorly as USD proxy when it comes to cryptocurrency trading. But with the adaptation in the e-commerce and payment spectrum, it could see a vast change.
Coinbase has also partnered up as a founding member of CENTRE Consortium which works at USD coins issuance and potential stablecoins that the committee could develop in the future. Apart from that, the report suggests that Coinbase is also teaming up with Circle for developing an underlying technology for USDC, but the details are still scarce.
Jeremy Allaire, CEO, and co-founder of Circle commented on the same. He says, “When we began work on CENTRE and USDC last year, we envisioned collaborating with a consortium of industry leaders to set new standards for global value exchange and financial contracts. We’ve been thrilled to collaborate with Coinbase on CENTRE, and we look forward to welcoming more partners who share this vision.”