Decentralized payments network Celo has announced plans to natively support the USD Coin (USDC) stablecoin. Through a collaboration with Circle, the firm behind the $26 billion USDC, the integration aims to expand Celo’s real-world asset use cases while extending USDC’s reach.
USDC will join Celo’s CELO token as a key application for the Ethereum layer 2-based blockchain protocol. The Celo community can soon vote on making USDC the default gas currency as well.
According to Circle’s Shamus Noonan, tapping into Celo’s mobile-first user base in emerging markets will broaden access to USDC. Meanwhile, granting institutional users entry to Circle’s fiat ramps will drive further platform activity.
Celo is focused on usability and regenerative finance applications. The blockchain is carbon neutral and emphasizes mobile-oriented DeFi for underbanked groups through efforts like September’s Opera MiniPay wallet launch.
The addition of USDC — the second largest stablecoin behind Tether — stands to bolster these real-world uses. At the same time, integration with Celo expands USDC’s mounting list of global partners.
Circle recently registered as a licensed virtual asset service provider in France. It is also working to introduce USDC to the Japanese market via an alliance with financial conglomerate SBI.
Long-time collaborator Visa enables usage across payment networks while leading USDC issuance on Ethereum and Solana. Circle plans to publicly list through a US stock offering as well.
By joining forces, Celo and Circle can capitalize on surging stablecoin adoption among users and institutions. Real-world impact is also furthered thanks to innovative applications across payments, lending, remittances, and more.
