Bitcoin is the best-known and most successful cryptocurrency, but competing cryptos like USDC have also become popular in recent years. USDC is a stablecoin that is more closely tied to fiat currency than the majority of cryptos. The company that created USDC has been working to popularize the crypto, and an increasing number of USDC exchange sites have been launched. and it recently entered into a partnership with Visa. This will enable legitimization of USDC and more widespread usage. Read on to learn more about USDC and its availability through Visa.
What is USDC?
USDC stands for USD Coin. As the name implies, it is a crypto that is pegged to the US dollar. This means it rises and falls with the dollar. USDC can always be exchanged 1:1 with the dollar (one USDC is equivalent to $1). It is called a stablecoin because its connection with the dollar reduces the likelihood of extreme volatility. USDC was created in 2018 by a company called Circle.
Circle Admitted to Visa’s Fast Track Program
In December 2020, Visa and Circle announced that Circle had been admitted to Visa’s Fast Track program. This program guides Circle and USDC toward the release of a USDC card. The circle is expected to graduate from this program sometime during 2021. The USDC Visa card will not be released until Circle completes the Fast Track program.
Cards Will Be Usable in B2B Transactions
At first, the USDC cards will be intended specifically for businesses. More specifically, it will be intended for business-to-business transactions. According to Visa, its USDC card will be the first to allow corporate transactions with this crypto. However, it will not be the first card from a major credit card company that will allow users to perform transactions in cryptocurrency. There is no word on when Visa or another credit card company may issue a consumer-facing USDC card.
International Transactions Will Eventually Be Allowed
At first, only transactions within the United States will be allowed once the USDC card is released. However, there are plans for a service that will allow US companies to perform international transactions. There is not yet a confirmed release date for the international USDC program from Visa.
Visa is a Leader in Cryptocurrency Adoption
This news will come as little surprise to those who are familiar with Visa, as the company is known for being one of the leaders in cryptocurrency adoption. In fact, Visa recently announced that it will release a card that pays out rewards in Bitcoin. Also, many cryptocurrency wallets have recently enrolled in Visa’s Fast Track program. In fact, over 25 wallets enrolled in the Fast Track program in late 2020 alone.
The Increasing Legitimacy of Crypto
The partnership between Visa and Circle is just a small part of the increasing legitimacy of USDC and other cryptocurrencies. Paypal recently offered users the capability to perform transactions with crypto on their service, with several leading cryptos accepted. Also, many large financial companies have begun investing large sums of money in Bitcoin.