USDC Issuer Circle Adds Solana Support, But SOL Price Falls 10%

USDC issuer Circle is beefing up its Solana support in the first half of 2023 with the Euro Coin (EUROC) project and access to its Cross-chain Transfer Protocol.

According to a Nov. 6 tweet, Circle, a global digital fintech firm and issuer of USDC, laid critical support for Solana. In the Solana Breakpoint event, Circle announced the expansion of the Euro Coin and its new permissionless cross-chain infrastructure (Cross-Chain Transfer Protocol) on Solana in the first half of 2023. 

Circle expands on Solana

Circle first launched the fully-reserved, euro-pegged stablecoin called Euro Coin (EUROC) in June. Operating similarly to USDC, the stablecoin currently runs on the Ethereum blockchain, and now Solana (SOL) would fall under the same umbrella.

Sheraz Shere, Head of Payments at Solana Labs, stated:

“The availability of Euro Coin on Solana unlocks new use cases for instant foreign exchange (FX), provides optionality for traders with a new base currency, allows for Euro Coin lending and borrowing, and will be available alongside USDC as a payment currency in Solana Pay.” 

Ergo, unlocking new opportunities for multi-currency digital finance and on-chain FX. 

One of the most prominent digital asset exchanges, FTX, will support the Euro Coin on Solana at launch. Other decentralized protocols, such as Raydium and Solend, also lent their support. 

Circle is also aiming to expand its Cross-Chain Transfer Protocol on Solana. The permissionless cross-chain infrastructure was announced in September of this year but has yet to see the light of day.

 It is set to go live at the beginning of 2023 on Ethereum (ETH) and Avalanche (AVAX) and expand to Solana in the first half of 2023. 

The protocol lets developers and crypto projects transfer USDC across various blockchains. 

Joao Reginatto, VP of Product at Circle, shed further light on choosing Solana, adding:

“Solana is a logical next step for Euro Coin and Cross-Chain Transfer Protocol given the depth and breadth of their developer ecosystem. We’re excited to watch this grow as we launch early next year.”

These developments would bolster the Solana ecosystem, but what about the price of its native asset, SOL? Just two days ago, on Nov. 5, Google Cloud revealed that it would become a Solana validator. 

Following the news, the SOL price surged by around 15%, pushing its value closer to $40. However, at the time of press, SOL suffered a 10% correction, currently trading around the $32 mark. 

Source: CoinMarketCap

Despite bullish support for the ecosystem, SOL has a long way to go, given its past difficulties. 

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Source: https://beincrypto.com/usdc-issuer-circle-adds-solana-support-sol-price-falls-10/