Circle to Introduce Native USDC On zkSync Network for Enhanced Liquidity
In Brief
Circle introduces USDC on the zkSync network to boost liquidity and replace bridged USDC liquidity from Ethereum via the zkSync Era Bridge.
Organization responsible for developing the US dollar-pegged stablecoin USDC, Circle, revealed plans to introduce USDC on the zkSync network. This move is anticipated to boost liquidity and gradually replace the bridged USDC liquidity from Ethereum via the zkSync Era Bridge.
The native USDC is regulated, fully reserved, and consistently redeemable at a 1:1 ratio for US dollars. It offers institutional on/off-ramps such as Circle Mint for eligible users and provides seamless integration to current decentralized applications (dApps).
Before the introduction of the native USDC, the Ethereum-based version of USDC on platforms such as zkSync Era Block Explorer will be relabeled as USDC.e. Additionally, outreach efforts will be made to ecosystem applications to ensure they update application user interfaces and documentation accordingly.
The bridged USDC, denoted as USDC.e token address, is 0x3355df6D4c9C3035724Fd0e3914dE96A5a83aaf4. The native USDC issued by Circle, identified as the USDC mainnet token address, is 0x1d17CBcF0D6D143135aE902365D2E5e2A16538D4, while its testnet counterpart has the address 0xAe045DE5638162fa134807Cb558E15A3F5A7F853.
Moreover, developers can now start preparing for integration by obtaining testnet USDC on zkSync Era Sepolia via Circle’s Testnet Faucet.
The liquidity migration on zkSync Era aims to gradually facilitate a seamless transfer of liquidity from USDC.e to USDC for ecosystem decentralized exchanges (DEXs) and dApps. The zkSync Era Bridge will remain unchanged for the time being, with no alterations.
zkSync Era Implements Changes to Withdrawal Process Preparing For Mainstream Adoption
zkSync is a Layer 2 protocol leveraging zero-knowledge technology and built-in account abstraction to enhance Ethereum‘s scalability. The project’s objective goes beyond simply boosting Ethereum’s throughput as it aims to uphold its fundamental principles of freedom, self-sovereignty, and decentralization on a broader scale. The zkSync Bridge functions as a native bridge for depositing tokens into zkSync.
Recently, zkSync Era announced changes to its withdrawal process, effective after March 31st, 23:59 UTC. Users initiating transactions to withdraw funds from the zkSync native bridge zkSync Bridge to the Ethereum mainnet will require an additional transaction to claim them on Ethereum. This adjustment aims to prepare the zkSync user experience for mainstream adoption while reducing intermediaries. It’s important to note that this change will not impact users bridging funds through third-party bridges.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
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Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
