Fantom Set to Unveil Canonical Stablecoin Backed by Circle and Wormhole

• The Fantom Foundation has partnered with Circle and Wormhole to launch USDC.e stablecoin.
• Bridging USDC via Wormhole and potential upgrades to native status streamline processes for users and developers.
• USDC.e launch minimizes liquidity fragmentation, fosters on-chain liquidity, and anticipates benefits for ecosystem participants.

Fantom is set to roll out its new stablecoin, USDC.e, in collaboration with Circle and Wormhole. Billed to debut on April 5, this move marks a positive for the Fantom Foundation and promises potential upsides for users. USDC.e is bridged via Wormhole from native $USDC on Ethereum, boasting potential future upgrades to native USDC status.

With the backing of stablecoin giant Circle and leveraging Wormhole’s infrastructure, USDC.e will be utilized as a stablecoin within the Fantom network. This move addresses liquidity fragmentation concerns while enhancing stability and accessibility for users and developers.

By utilizing Wormhole’s Native Token Transfers (NTT) standard, users and developers can easily access USDC.e on Fantom’s ecosystem . Moreover, this move provides valuable on-ramps for newcomers and facilitates smoother transactions within the network.

Per Fantom’s X post, developers can leverage the bridged USDC with a contract address that will remain consistent even with an upgrade to native USDC. This approach eliminates the need for code modifications, offering developers convenience and efficiency.

Fantom’s move to unveil its stablecoin is attracting the attention of enthusiasts and market experts. According to the platform’s publication, this latest initiative will offer potential benefits to users and developers in its ecosystem.

The bridged USDC provides users an easy experience for storage, transactions, trading, borrowing, and lending. Notably, should there be an upgrade to native USDC, the bridged USDC tokens will transition seamlessly without necessitating any user intervention or asset swaps.

Regarding the broader ecosystem, Fantom states that introducing canonical stablecoin will minimize the complexities associated with liquidity migration. As such, this move will remove the burden of educating and rewarding users to migrate from bridged USDC to native USDC in the event of an upgrade.

Furthermore, liquidity provision for the canonical stablecoin on Wormhole enhances accessibility and facilitates asset bridging to Fantom. This is in line with fostering greater on-chain liquidity.

The decision-making regarding a potential upgrade to native USDC hinges on an agreement between Circle and Fantom. However, should such an upgrade occur, all $USDC.e tokens will smoothly transition to native USDC without necessitating any contract address updates or asset swaps.

Meanwhile, Fantom’s market movement is yet to react to this news, with its native token witnessing a dip in its one-day and seven-day charts. Fantom’s trading price is $0.805020, reflecting a 4.63% decrease in the last 24 hours. In addition, its market cap has dipped by 4.18% to $2,262,990,306. FTM is positioned 92.17% above the 200-day SMA of $0.420010, showing an increased upward trend.

Overall, the launch of $USDC.e marks a significant advancement towards adoption and market growth. Moreover, the partnership seeks to boost Circle’s fanfare by connecting users from other platforms.