USDC Adoption Lagging Outside US: Coinbase

The exchange said the stablecoin is bought at three times the US dollar rate against other fiat currencies.

U.S.-based cryptocurrency exchange Coinbase says adoption of USD Coin (USDC) has been "more conservative" outside of the U.S., which it says is the result international currency conversion fees.

In an October 20 statement, the exchange said there is currently three times as much USDC being purchased with US dollars compared to other currencies.

“Currently, 3 times more USDC is purchased in USD than in non-USD currencies. fees in the process of converting their local currency to USDC, which is a barrier to wider international adoption."

The US dollar-pegged cryptocurrency is currently the second-largest stablecoin by market capitalization under Tether (USDT).

Coinbase has stated that it sees the utility of stablecoins such as USDC for the benefit of residents of countries requiring a coin that does not fluctuate in value, is highly accessible, and provides access to decentralized finance (DeFi ).

The exchange said it aims to “build more on-ramps for users to access USDC” and will waive fees for all clients who buy or sell USDC using no any fiat currency.

In 2018, Coinbase and payment technology company Circle teamed up to create the Center Consortium to develop USDC, which is currently the second-largest stablecoin behind Tether and the fourth-largest cryptocurrency. .