Circle, the issuer of the second-largest stablecoin USDC, plans to launch a dollar-denominated token on the Layer 1 blockchain Sui as early as next week, according to Circle co-founder and CEO Jeremy Allaire on Tuesday. The move was accompanied by a series of announcements for the stablecoin giant, including an integration with MoviePass that will enable users to pay for subscriptions with crypto and news that USDC is live in Brazil and Mexico. 

This will be Circle’s fifteenth blockchain integration since launching USDC through a joint partnership with Coinbase in 2018. The token is the sixth-largest cryptocurrency, with a market capitalization and circulating supply of $35 billion, according to The Block’s price page. 

SUI, the Sui network’s native token, is up over 10% following the news and currently exchanging hands for $1.15.

“The availability of USDC as a native asset on Sui marks another important milestone in the maturation of the Sui ecosystem,” Chief Product Officer of Mysten Labs Adeniyi Abiodun said in a statement. Adeniyi noted the launch will help bolster the network's cross- and intra-chain functionality.

Sui, launched in 2023, is a blockchain network built for running decentralized applications. Its technology largely stems from research and development done at Facebook (now Meta) for its failed Libra (later, Diem) stablecoin project, including its bespoke programming language called Move (which is also used by rival network Aptos).

Circle will launch USDC on Sui using its Cross-Chain Transfer Protocol, an on-chain platform for minting, burning and transferring tokens on various blockchains

"Apps built on CCTP can essentially teleport USDC from one blockchain to another, providing users with a highly secure and capital-efficient way to transact in a multi-chain world," Circle said on an information page on its website.

Allaire said the USDC Sui testnet will go live Tuesday, though data site Suiscan doesn't yet show a contract address at the time of publication. 

The Circle Reserve Fund, an SEC-registered government money market fund holding a portfolio of U.S. Treasurys, overnight repurchase agreements and cash, is custodied at The Bank of New York Mellon, managed by BlackRock and attested for by Grant Thornton.

On Sunday, Circle announced plans to expand USDC on the Ethereum Layer 2 Soneium, which is a joint effort built by Sony and Singapore-based Startale Labs. 

Source : The Block Crypto News - Sep 18, 2024