Circle, a global digital financial technology firm and the issuer of USDC and Euro Coin, announced the mainnet availability of Cross-Chain Transfer Protocol (CCTP) for developers building on Ethereum and Avalanche. The permissionless protocol enables USDC to flow natively across supported chains, delivering an unparalleled level of interoperability, security, liquidity and simplified user experiences.
Apps that embed CCTP can enable users to “burn and mint” USDC natively, which results in USDC essentially “teleporting” from one blockchain to another. By avoiding the complications and risks of traditional “lock and mint” approaches, CCTP brings a highly secure and capital efficient way to transact with USDC in an increasingly multi-chain environment.
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Over time, CCTP will help unify liquidity around native USDC in Web3 and solve fragmentation issues caused by multiple, unofficial bridged versions of USDC floating around the ecosystem. Further, the ability of CCTP to connect blockchains can support simpler and safer payments experiences, where customers can send and receive USDC without needing to know which blockchain their USDC lives on.
CCTP is a key step towards moving infrastructure and complexity to the background, providing a path for developers to create consumer-scale Web3 apps. Developers building on top of CCTP can stack key capabilities together, such as trading, lending, payments, gaming and more to simplify UX and deliver new mainstream use cases to their users.
CCTP-powered apps can enable users to carry out various cross-chain transactions with USDC such as – digital asset swaps (e.g. ETH on Ethereum for AVAX on Avalanche), make deposits on a decentralized exchange with USDC sourced from another chain, or seamlessly purchase NFTs across chains.
SOURCE: PR Newswire