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USDC is a stablecoin, meaning its value is designed to remain constant, specifically pegged 1:1 to the US dollar. Each USDC unit is backed by an actual US dollar or equivalent assets, and its reserves are regularly audited. The goal of USDC is to provide stability in the volatile world of cryptocurrencies and facilitate fast, low-cost transactions.
Ethereum is a blockchain platform, not just a cryptocurrency. It allows developers to build and run decentralized applications (dApps), create smart contracts, and issue new digital currencies (like USDC, which operates on the Ethereum network as an "ERC-20 token"). Its native cryptocurrency is Ether (ETH), which is used to pay for transaction fees (Gas Fees) on the network. Ethereum is a cornerstone for many innovations in decentralized finance (DeFi) and non-fungible tokens (NFTs).
