The Sui Foundation has announced that Circle’s USDC stablecoin will be available natively on the Sui network, with the NAVI Protocol set to integrate the asset from day one.
This integration — shared with crypto.news via press release — is backed by $120 million in USDC liquidity and marks the third-largest supply of USDC (USDC) in the industry, following Aave (AAVE) and Compound (COMP). NAVI is the primary decentralized finance and liquidity protocol on Sui.
The update improves the Sui (SUI) ecosystem by boosting liquidity and enhancing the user experience. “Native USDC” refers to a stablecoin issued directly on a blockchain, as opposed to “bridged USDC,” which relies on third-party networks to connect different blockchains.
Native assets are fully backed and can be exchanged for U.S. dollars, increasing users’ trust and efficiency.
Integration details
With this integration, Sui’s network benefits from increased capital efficiency. NAVI will introduce features like flash loans and liquidity support, while also encouraging users to migrate from bridged USDC to native USDC, providing a seamless lending and borrowing experience.
Sui’s adoption of USDC aligns with the broader trend of permissionless composability, where blockchain technologies build on each other to create more efficient applications. This also enables faster and simpler cross-chain transactions, eliminating delays often seen with bridges.
Per the release, NAVI will share a user migration plan in the coming days, outlining how the transition from bridged to native USDC will be handled, further advancing the Sui DeFi ecosystem.
Source: https://crypto.news/sui-network-to-launch-native-usdc-via-navi-protocol/