USDC | Arkham

USDC (USD Coin) is a leading stablecoin, a type of cryptocurrency designed to maintain a stable value by being pegged 1:1 to the U.S. dollar. It was created with a focus on transparency and operating within U.S. financial regulations, positioning itself as a compliant and trustworthy digital dollar. Like other stablecoins, USDC's primary function is to provide liquidity and a stable store of value for the digital asset ecosystem, enabling users to transact globally on the blockchain with the stability of the U.S. dollar.

Who created USDC? USDC was launched in September 2018 by the Centre Consortium, a partnership co-founded by the global financial technology firm Circle and the U.S.-based cryptocurrency exchange Coinbase. The involvement of these regulated, U.S.-based companies has been a cornerstone of USDC's reputation for compliance and security.

How does USDC work? USDC maintains its 1:1 peg to the U.S. dollar through a model of full asset backing. For every USDC in circulation, there is a corresponding U.S. dollar's worth of assets held in reserves. These reserves are composed of cash and short-term U.S. Treasury bills, which are considered highly liquid and stable assets. To ensure transparency, Circle provides monthly public attestations from third-party accounting firms, which verify the size and composition of the reserve fund. USDC is an open-source token that operates on multiple major blockchains, including Ethereum, Solana, and Avalanche.