What is Circle USDC and Centre - A Cybrid Explainer
UPDATE Aug 22, 2023 - Circle and Coinbase announced that due to a changing regulatory landscape that Centre will be dissolved - USDC will remain fully available.
In this blog post, we'll explore what USDC is, how you can obtain it, and how Cybrid, an embedded infrastructure provider, has made it easy to use USDC for your business.
What is USDC?
USDC is a stablecoin created by Centre, a consortium that includes Circle, a leading fintech company. USDC is backed by US dollars held in reserve, which means that the value of USDC is pegged to the US dollar. This makes USDC a stable and reliable currency that can be used for transactions and as a store of value. USDC is not a CBDC.
How can you obtain USDC?
There are several ways to obtain USDC. One way is to purchase USDC on a cryptocurrency exchange, create a Circle account, or swap using a DeFi protocol like Uniswap. You can also obtain USDC by receiving it as payment for goods or services. Another option is to use Cybrid, an embedded finance infrastructure provider that has made it easy to obtain and use USDC for a variety of embedded finance use cases.
The other way to interact with USDC is through Cybrid's embedded finance platform, but we'll cover that later.
Who is Centre?
Centre is a consortium that was founded by Circle and Coinbase. The consortium was created with the goal of creating open standards for digital currencies, which would make it easier for individuals and businesses to use digital currencies for everyday transactions.
The founding members of Centre recognized that for digital currencies to become more widely adopted, there needed to be a standard that ensured interoperability and provided a framework for transparency and accountability. The consortium was created to bring together leading companies in the industry to work towards these goals.
One of the main goals of Centre is to create a more inclusive and efficient global financial system. The consortium believes that digital currencies can play a key role in achieving this goal by providing faster, cheaper, and more secure transactions. However, for digital currencies to be widely adopted, there needs to be a standard that ensures interoperability and provides a framework for transparency and accountability.
Centre is responsible for creating and maintaining the smart contracts that issue USDC as it is built on an open standard that ensures interoperability and provides a framework for transparency and accountability. This makes it easier for developers to build applications that can send and receive USDC and ensures that users can trust that USDC is backed by US dollars held in reserve.
Who is Circle?
Circle is a fintech company that was founded in 2013 with the mission of creating a more open, inclusive, and user-friendly global financial system. The company is dedicated to making money work the way the internet works, which means that it should be instant, global, free, and secure.
Circle offers USDC and an identity product, Verite, that are designed to make it easy to use digital currencies for transactions and as a store of value. USDC is built on an open standard that ensures interoperability and provides a framework for transparency and accountability.
Circle is a founding member of the Centre consortium, which is responsible for creating and issuing USDC. As a member of the consortium, Circle is the sole issuer of USDC and facilitates monthly attestations, which helps to ensure that the value of USDC is always stable.
Monthly attestations to ensure that the amount of US dollars held in reserve to back USDC is equal to the amount of USDC that is in circulation. These attestations are conducted by independent accounting firms, and the results of each attestation are published on Circle's website for public review.
The monthly attestations provide transparency and accountability for USDC users and help to ensure that USDC is always backed by US dollars held in reserve. This is an important feature for a stablecoin, as it provides users with confidence that the value of USDC will remain stable and that it can be used for everyday transactions.
Circle is utilized by companies both traditional and crypto focused to offer access to USDC. Notable crypto companies include Bitso, Belo Labs, Coinbase, Cybrid and Ripio. There global partners include BlackRock, BNY Mellon, Mastercard, Moneygram, Visa, and Worldpay.
How does Cybrid utilize Circle?
Cybrid utilizes Circle's stablecoin technology to provide the fastest, easiest embedded finance experience, enabling clients to easily and seamlessly transfer and manage their digital assets in a secure and transparent manner.
Cybrid has partnered vendors to create an embedded infrastructure that makes it easy to use USDC by providing an end-to-end experience that includes banking, money movement, ledgering, compliance, reporting and more. Cybrid's infrastructure includes best-in-class vendors for KYC/identity, FBO bank accounts, money movement, wallets, crypto liquidity, and more.
How easy is it to transfer USDC?
Transferring USDC is as easy as sending an email. With USDC, you can send and receive payments instantly, and the transaction fees are minimal. This makes USDC a convenient and cost-effective way to send and receive money.
Can you transfer USDC between Cybrid wallets?
Yes, you can transfer USDC between Cybrid wallets. Cybrid's infrastructure makes it easy to transfer USDC between wallets, which means that you can send USDC to anyone who has a Cybrid wallet, regardless of their location. This makes USDC a global currency that can be used by anyone, anywhere in the world.
USDC is a stablecoin that is pegged to the US dollar, making it a stable and reliable currency that can be used for transactions and as a store of value. With Cybrid's embedded infrastructure, it's easy to obtain and use USDC, and transferring USDC is as easy as sending an email. Whether you're a business looking for a cost-effective way to send and receive payments or an individual looking for a convenient way to store and transfer money, USDC is a great option.