Vitalik Buterin Favors USDC on Ethereum over CEX Transfers

Vitalik Buterin, co-founder of Ethereum, has backed USDC on Ethereum. The idea is to use the stablecoin for making transfers between centralized exchange accounts. He expressed his support during an interaction on X, signaling that the objective was to enhance network effects and users’ on-chain habits.

ETH has decreased by 0.09% over the last 24 hours and is currently trading at $2,735.55. The token has made a recovery from recent declines but is still in the zone of marking a couple of downswings before breaching the milestone of $3,000.

Vitalik Buterin has also voiced his opinion on another matter. It is about the arrest of Pavel Durov, the Chief Executive Officer of Telegram. Vitalik has criticized officials, saying that it poses serious threats to software and communication freedom in the region. He did criticize Telegram’s  encryption strategy, but he has not refrained from publicly expressing his support.

Telegram could also face consequences in India, where authorities are investigating its involvement in extortion and gambling. The result could be a ban on the application across Asian countries.

TON felt the heat of the incident, dropping almost 14%. The token has now increased by 4.29% and is currently trading at $5.62.

Vitalik continues to express his opinion about balancing freedom and regulation. One aspect of this is his support for the CEO of Telegram. He previously advocated for a more nuanced approach to ecosystem governance, highlighting the importance of implementing multiple solutions rather than adhering to a single approach.

Buterin is opposed to the idea of transferring TG groups to Farcaster. He stated that it was preferable to wait until they had something end-to-end encrypted, and that it was critical to be federated in order to gain adoption throughout the ecosystem.

A switch to USDC is making the rounds for now. ETH is the native token of the Ethereum network, but the adoption of a stablecoin could help keep things seamless, comparatively. Furthermore, it is likely to help facilitate easy transitions when the time comes to buy options in the future. He prefers to hold ETH because it allows real-time exchange with those who are willing to hold USDC in their accounts.

The conversation on X also covered the concept of multifaceted governance. Buterin defined plurality as a middle path, claiming that it could address all of the major challenges being faced by the community. It largely applies to issues like universal basic income and voting. He does not advocate for a complete replacement of the current system. If anything, he believes that both should complement each other and preserve individual freedoms.

It remains to be seen how the community will react to the proposal of switching to USDC for the stated purpose. ETH will continue to float around, potentially to be exchanged with those who are seeking USDC and desire to have the stablecoin with them.