Luckily, stablecoins like USD Coin (USDC) have emerged as a solution to this problem, providing the stability of fiat currencies while leveraging the advantages of cryptos. Stablecoins are a type of cryptocurrency whose value is pegged to another asset, such as a fiat currency, a commodity or even another crypto coin. Within just weeks after its public launch in April 2023, PEPE became one of the most highly traded cryptocurrencies. While it took Dogecoin (DOGE) almost four years for its market capitalisation to reach $1 billion, Pepe Coin surpassed its first billion within three weeks of its launch.
Say, for instance, you sign a smart contract that depends on the outcome of a sporting event. If this contract uses ETH for payment, your final take-home amount may vary depending on the cryptocurrency’s current valuation. A USDC-based contract, on the other hand, would naturally not fluctuate in value since the token always trades at $1. This would leave no ambiguity as to how much value you receive on the day of the contract’s execution. In our deep-dive into Ethereum’s fundamentals, we discussed how the blockchain was built to support smart contracts.
USDC to USD Price Prediction for Next Days and
This has further cemented USDC’s position as one of the most popular and widely used stablecoins. If you’re looking for a cryptocurrency investment, it makes more sense to compare other types of cryptocurrencies that aren’t stablecoins. Bitcoin (BTC 0.34%) and Ethereum are popular choices, but there are many other interesting projects What is USD Coin out there. USD Coin has inked several major deals that could help it dramatically expand as a payment method and cryptocurrency. In September 2022, Circle and Robinhood teamed up to make USD Coin the first stablecoin offered by the broker. USD Coin (USDC) is a digital currency that is fully backed by U.S. dollar assets.
The appeal of meme coins lies in their light-hearted and fun nature, catering to a wide audience, especially younger retail traders. Additionally, the low cost of entry and potential for substantial https://www.tokenexus.com/ gains make meme coins attractive to many, despite their high volatility and speculative nature. Cryptocurrency transaction fees vary significantly depending on a number of factors.
Special Features of USD Coin
The features of USD Coin explained in detail can offer credible advantages for revising the way you perceive stablecoins. Here are some of the special highlights which separate USD Coin from the other stablecoins available now. Beyond that, USDC also enables users to transfer currency worldwide quickly, offering a more viable option than traditional channels, such as bank transfers for cross-border transactions.
Meanwhile, USDC’s value has stayed relatively stable over its life, although there may be some short-term volatility during extreme market periods, Manoppo says. This came just as the crypto market appeared to be turning bullish again. Volt Inu and VoltiChange are affiliated with Pepe via VoltiChange’s widget integration directly onto Pepe Coin’s website. While the official Pepe Coin website says that the token has no intrinsic value or expectation of financial return, the number of holders continues to be impressive. On a larger scale, it makes payroll services, global crowdfunding, and donations to charity more stable and efficient.
Ethereum Classic
The value of a stablecoin is typically pegged to a fiat currency like the US dollar. USD Coin maintains a fixed value of $1 per coin, and a U.S. dollar backs each USD Coin in a dedicated bank account. This makes USD Coin a popular option for holding cryptocurrency without the volatility and price risk of major coins such as Bitcoin and Ethereum. Well, a stablecoin is a type of cryptocurrency that is designed to maintain a stable value. This is achieved as they are pegged to a stable asset like fiat currency or gold.
- You can make passive income with USD Coin by lending it, and that’s one of the reasons investors buy it.
- Another remarkable highlight regarding USD Coin points to the fact that it was the first stablecoin listed on the Coinbase crypto exchange.
- The price stability of USDC contrasts sharply with the notorious price fluctuations of other cryptocurrencies like Bitcoin and Ethereum.
- A USDC-based contract, on the other hand, would naturally not fluctuate in value since the token always trades at $1.
- As of May 2022, Circle announced that the company would provide weekly attestation reports.
- Circle says there is a total supply of four billion tokens in circulation right now.
When crypto investors buy USD Coin, they expect one USDC to always be equal in value to one dollar. The most common use case is to purchase USDC, store it on an exchange or in a crypto wallet, and then use it to fund purchases of other cryptocurrencies. Once registered, you can charge your account via bank transfer, Apple Pay, or credit/debit card payment. While bank transfers might take 1-3 business days to process, Apple Pay and credit card payments are processed within seconds and ready to use for your first PEPE purchase. Its origins are rooted in meme culture, and PEPE’s roadmap mainly embodies community-driven initiatives rather than blockchain technology goals.