TLDR:
Sui to launch native USDC and Cross-Chain Transfer Protocol (CCTP)
First Move-based blockchain to support these protocols
USDC is the largest regulated dollar-backed stablecoin ($35B market cap)
Integration enhances Sui’s utility, security, and interoperability
Sui’s DeFi ecosystem has over $700M in Total Value Locked
The Sui Network, a Layer 1 blockchain known for its high performance and scalability, has announced plans to launch native versions of USD Coin (USDC) and the Cross-Chain Transfer Protocol (CCTP) on its platform.
This development, scheduled for the near future, marks a milestone for Sui as it becomes the first blockchain based on the Move programming language to support these protocols.
USDC, issued by Circle’s regulated entities, is currently the largest regulated dollar-backed stablecoin in the cryptocurrency industry.
As of September 17, 2024, USDC boasts a market capitalization exceeding $35 billion. The stablecoin has gained widespread adoption due to its stability and regulatory compliance.
The Cross-Chain Transfer Protocol, or CCTP, is a permissionless on-chain utility designed to facilitate secure USDC transfers between different blockchains. This protocol aims to provide a more secure and capital-efficient method for users to transact with USDC across supported blockchain networks.
The integration of native USDC and CCTP is expected to bring several benefits to the Sui ecosystem. These include enhanced utility, improved security, and greater interoperability for both users and developers. The move is anticipated to increase liquidity on the network, streamline transactions, and boost overall market efficiency across the Sui ecosystem.
Developers building on Sui will soon have the ability to incorporate native USDC into a wide array of digital dollar-backed financial products. These applications could span various sectors, including decentralized finance (DeFi), gaming, decentralized physical infrastructure networks (DePIN), and e-commerce.
For end-users, this integration will enable seamless sending, spending, and saving of digital dollars within the Sui network.
The Sui Network already hosts a thriving DeFi environment, which provides a solid foundation for the integration of USDC.
As of the announcement date, Sui’s ecosystem boasts over $700 million in Total Value Locked (TVL), more than $215 million in bridged USDC, and ranks among the top 10 blockchain networks in terms of weekly decentralized exchange (DEX) trading volume.
Nikhil Chandhok, Chief Product Officer at Circle, expressed enthusiasm for the upcoming integration, stating that Circle’s open platform and permissionless protocols will enable more builders to deliver blockchain-based utility and contribute to efficient payment experiences on Sui and across other ecosystems.
The transition from bridged USDC to native USDC on Sui will be a gradual process. Sui plans to collaborate with ecosystem applications to shift liquidity over time.
During this transition, the Wormhole Portal bridge will continue to operate as usual. Before the launch of native USDC, the Ethereum-bridged USDC on Sui will be renamed “wUSDC” on block explorers. Ecosystem applications will be encouraged to update their user interfaces and documentation accordingly.
Adeniyi Abiodun, Co-Founder and Chief Product Officer of Mysten Labs, the company behind Sui’s development, highlighted the significance of this integration. He noted that the availability of USDC as a native asset on Sui represents a major milestone in the maturation of the Sui ecosystem and cements Sui’s position as an industry leader
The post Sui Network to Integrate Native USDC and Cross-Chain Transfer Protocol appeared first on Blockonomi.
