USDC is a stable cryptocurrency designed to maintain a 1:1 parity with the US dollar, backed by assets in this currency. Stablecoins, also known as stable cryptocurrencies, emerged with the purpose of providing decentralization, transparency, and sovereignty to those looking to avoid volatility.
The functionality of US Dollar Coin focuses on enabling a tokenized dollar to circulate globally, moving from a cryptocurrency wallet to other exchanges, businesses, or individuals. This approach aims to facilitate its use across the internet and public blockchains. USDC is compatible with 13 blockchains, and the issuance and redemption of its tokens are carried out through smart contracts, ensuring their execution.
It is essential to emphasize that, despite its name, USDC is not issued or backed by the government of the United States. USD Coin operates as an open-source project, which means that anyone can examine and contribute to the project’s code.
