USD COIN: EVERYTHING YOU SHOULD KNOW ABOUT THE SECOND-LARGEST STABLECOIN
News websites will take you through some of the substantial improvements and advancements that have taken place in the digital ecosystem. Also, they will give you updates and practical safety tips for a Bitcoin beginner . We had previously covered the implications of the recently launched USD coin, and moving on from that, here we will dive deep into the matter.
Overview
USD coin is being hailed as the newest Stablecoin, which is pretty much what its name suggests. Yes, it is linked to the original US dollar, and it was launched on September 26th, 2018, which was a direct result of the partnership that was observed between Coinbase & Circle. It is a US dollar-backed cryptocurrency that is currently competing with TrueUSD and Tether. USD coin tokenizes all the US Dollars, then later allows such dollars to be subsequently used on different digital platforms like the internet & public blockchains.
Possibilities are unleashed by the USD coin
Now, it is to be noted that the USD coin can easily be converted into the physical currency as and when you please. The mechanism that works behind it is commonly referred to as the ERC-20, which is a smart contract that also ensures the issuance as well as redemption of USD coins. Now, if you put the US dollar into the blockchain, then you will be allowed to send that particular amount to any part of the world within a matter of seconds, which also provides much-needed stability that cryptocurrencies usually look for.
The Journey
Cryptocurrencies have undoubtedly left an indelible imprint on the financial ecosystem. The entire advanced digital scenario has made it incredibly easier for users to transfer any amount of funds across the borders. Everything gets taken care of in a matter of seconds without even having to be bothered by the unwanted financial intermediaries. Today, the overall volume of the financial transactions that are conducted only is increasing exponentially. Now, it is only a matter of time before the technology will take over the rest of the systems that are still being administered by the traditional platforms.
Rise of the digital age
Now, there is yet another development in the crypto industry that is making headlines. It is the USD coin which is not the newest entrant into the digital ecosystem of the Metaverse but certainly an influential one. The stakes have been raised significantly, and the relevance of the USD is constantly increasing owing to its scalability, transparency, accountability & easy to use features. It is also posing significant competition for the existing cryptocurrencies that are also performing exceptionally well in the digital space. We have come to realize that the digital revolution that we are currently witnessing is not at its peak, but it is just the beginning of much more to come. Having said that, the USD coin is a clear manifestation of that thought process as it continues to transform the physical US dollar into a fully-functioning cryptocurrency.
Conclusion
So being all said and done, I think it is safe to say that the USD Coin is here to stay, and the developments in this digital asset seem to get better each day. The entire ecosystem of crypto-assets took a massive blow from the Russia-Ukraine war, but the rebound was equally fast, which saved the day for such digital assets. USD coin is on its way to posing a significant competition for the existing cryptocurrencies, but now it aims to go a step beyond in pursuit of garnering a greater user base through its unique value proposition.
Now, it is only a matter of time when we will see the actual implications of the USD coin in the real market, but for now, the start looks more convincing than most investors and stakeholders initially anticipated. The rise of such digital assets is inevitable, and we can only learn & leverage key takeaways from the current market trends.