We are thrilled to announce that Renzo will launch ezUSDC on the Jito (Re)staking platform, to enable restaking USDC. This integration will empower stakers to utilize USDC as stable collateral, Node Consensus Networks (NCNs) to offer emissions in the form of USDC, and DeFi platforms across Solana to leverage ezUSDC as a new restaked asset. 

ezUSDC is a liquid token of restaked USDC. By bringing together USDC, Renzo’s liquid restaking expertise, and Jito’s innovative staking infrastructure, developers will be able to unlock new possibilities for secure and sustainable NCNs on Solana.

Why USDC?

Native USDC on Solana is widely used, making up roughly 70% of the stablecoin market cap on the blockchain network as of September 9, 2024. USDC is thus uniquely positioned as an easy-to-use and stable currency for restaking. Unlike volatile assets such as SOL or governance tokens, dollar stablecoins provide a buffer against market fluctuations. By utilizing USDC as collateral for ezUSDC, NCNs gain enhanced protection against price volatility, creating a more resilient network.

USDC as an Emissions Token

Node operators often face challenges in forecasting their income and expenses when receiving emissions in volatile assets. The introduction of ezUSDC simplifies this process, enabling more precise economic modeling. Stablecoin NCN emissions, as opposed to governance tokens, promote sustainable systems by ensuring that NCN costs are covered by paying users stablecoins rather than inflationary rewards. This shift enhances the long-term viability of the network and creates a solid foundation for future DeFi innovations.

Impact on Node Consensus Networks

For NCNs, the use of ezUSDC offers heightened security. Having stable collateral helps protect networks from economic volatility, while precise tokenomics calculations ensure a more efficient and resilient system. By incorporating USDC into their staking mechanisms, NCNs can harden their infrastructure, offering better protection against market risks and ensuring smoother operation during periods of high volatility.

New Use Cases with ezUSDC

The launch of ezUSDC opens the door to a wide range of innovative DeFi products and use cases. The Solana ecosystem is poised to see a surge in product offerings, from trading to vault products, auto-compounders, and more. This integration will further drive the adoption of USDC and strengthen its presence on Solana.

Source : Jito Blog - Sep 20, 2024