$USDC USDC is a stablecoin issued by the Centre consortium, which includes Circle and Coinbase, pegged to the U.S. dollar at a 1:1 ratio, aimed at providing a digital currency equivalent to the dollar, while incorporating the decentralized, traceable, and secure transparency features of blockchain technology.

Background and Features:

- Launched in 2018 by Circle and Coinbase, designed to provide a compliant and transparent stablecoin.

- Reserves include cash and short-term U.S. Treasury bonds, ensuring liquidity and low risk.

- Subject to independent audits every month, ensuring transparency and regulatory compliance.

- Supports multiple blockchain platforms such as Ethereum and Solana, possessing extensive cross-chain circulation.

Market Performance:

- Since 2020, its market value has rapidly increased, reaching approximately $60 billion by April 2025.

- Holds a 26% market share of the total stablecoin supply, second only to USDT.

- Widely used in cryptocurrency exchanges, DeFi platforms, and cross-border payments.

Challenges and Risks:

- Relies on the credit of Circle and Coinbase, posing centralization risks.

- During the 2023 Silicon Valley Bank crisis, it briefly deviated from the $1 value due to reserve issues, exposing dependency on custodial banks.

- Faces risks from regulatory policy changes and potential vulnerabilities in smart contracts.

USDC, with its compliance and transparency, holds an important position in the stablecoin market, but still needs to address challenges from market competition and potential risks.