Circle set to launch USDC natively on Arbitrum
USDC natively issued by Circle will become the official version of the stablecoin on Arbitrum.
The company expects native USDC to gradually replace “bridged USDC” liquidity from Ethereum.
Circle says the launch will go live on June 8 and the Arbitrum Foundation will help ensure smooth transition for ecosystem apps.
Stablecoin issuer Circle has announced the launch of USDC natively on the Arbitrum blockchain, noting that the release will see native USDC liquidity eventually replace Ethereum-bridged versions on the Layer 2 protocol.
“USDC issued by Circle will be native to Arbitrum and will be considered the official version of USDC for the Arbitrum ecosystem. Over time, native USDC liquidity will grow and replace the currently circulating “bridged USDC” liquidity that comes from Ethereum,” Circle noted via a Twitter thread.
Native USDC on Arbitrum is scheduled for June 8, 2023 and will bring ecosystem users benefits such as cross-chain transfer protocol support to remove bridge withdrawal delays. It will also introduce further institutional on and off-ramps via Circle and other partners.
Circle also noted that the Ethereum-bridged USDC on block explorers will change, renamed “USDC.e.” Apps will also be expected to take similar steps in their app UI and documentation.
Arbitrum Foundation will work with ecosystem apps with the aim of facilitating a smooth transition of liquidity from the bridged USDC to native USDC.
“There will be no immediate changes to the Arbitrum Bridge & it will continue to operate normally for bridging USDC to-&-from Ethereum,” Circle said.
Circle’s announcement about the launch of USDC natively on Arbitrum comes a few days after the company launched its Euro Coin stablecoin on Avalanche. The company said it targets multichain support for the euro-backed stablecoin.