What is a USD Coin & How to Exchange USDC at the Best Rate?
If you’re new to the crypto space and wonder what USD coin is or how to exchange USDC with the help of a crypto exchange aggregator, then you’re in the right place. In this article, you will find everything you need to know about the USD coin.
What is a USD coin (USDC) and How to Exchange USDC?
USD coin (USDC) is a cryptocurrency created to make digital transactions much easier on the network. Unlike many cryptocurrencies, USD coin is stable, it is not as volatile as other cryptos like Bitcoin or Ethereum. The primary reason the USD coin is stable is that every USDC coin is backed by a US dollar. Since the value of fiat currencies doesn’t change much, they are most suitable to purchase other cryptocurrencies. However, with fiat currencies, the transactions are slower and need a lot of effort.
There are many aspects that make USDC stablecoin unique:
- Stable value & smart contracts
- Financial transparency & Circle’s APIs
USD Coin stablecoins are backed by US dollars. This keeps the coin’s price relatively stable compared to other cryptocurrencies.
Integration with Circle APIs
One of the best features of the USD coin is its integration with Circle APIs. Circle is the parent company that owns the USDC network. You can use Circle Application Programming Interfaces or APIs to build next-generation finance and commerce applications. All the Circle APIs support building on USD Coin and expand the use of cryptocurrencies.
Smart contracts are the building blocks of web 3.0. They act as a backend for web 3.0 applications. In other words, they allow us to create decentralized applications capable of running by themselves without any controlling entity. The code in the smart contracts will control how the application works. Using a USDC coin, you can integrate the token’s smart contract with Ethereum, Algorand, and Solana applications.
The USDC network is financially transparent. The USD coin reserves are attested by some of the top firms every month. You can look at these financial records on the website itself. These reports assure us that you can exchange all your USD coin to USD at any time.
Advantages of USDC
There are many advantages to using USDC coin over the other stable coins or fiat currencies. Let us see some of the major advantages in brief.
The Largest Stable Coin Ecosystem
Even though the USDC coin is relatively new compared to Tether, for example, it still managed to grow as the largest stable coin ecosystem in the crypto space. Thousands of companies and developers are using USDC to build financial applications and payment services. The USD coin provides value to all the services running on this ecosystem. Some of the well-known partners of USDC include Aave, DizPay, Chainalysis, etc.
One of the major advantages of USDC is that all the transactions on the network are secure. As we know, fiat transactions are secured by general encryption methods. However, these encryption methods can be cracked by a powerful computer with some effort. With USD coin, all the transactions will take place on a blockchain making them completely secure.
Exchange USDC with Low Fees
Due to the fact that they are essentially the digital versions of the fiat currencies, the transaction and trading fees are pretty low compared to other cryptocurrencies. Moreover, USDC transactions are much faster than fiat transactions making them perfect for crypto trading where prices change every minute.
Ever since cryptocurrencies were launched with Bitcoin after 2009, every crypto investor’s dream has been a global adoption of those coins and tokens. However, it can be difficult to change the way global finances work anytime soon. Stable coins help cover this gap a bit by acting as the digital versions of fiat currencies.
As they have the same value as the backing fiat currency, any country can have a local stablecoin. Moreover, USDC adds much more functionality to the fiat currencies. You can build next-generation finance applications using USDC.
Support to Build Decentralized Applications exchange USDC
As we’ve mentioned earlier, the USD coin ecosystem supports ERC-20 smart contracts. As web 3.0 is picking up more and more heat every day, the demand for smart contracts is also increasing. As a result, more and more developers are joining the USDC coin ecosystem, further increasing the use cases of the USD coin.
How to exchange USDC to Bitcoin?
You can use Swapzone to find the best USD coin to Bitcoin exchange offers from several cryptocurrency exchanges.
- First, go to Swapzone to get your work started.
- You can find the ‘Send’ option under ‘Select a pair’.
- Click on the dropdown button in the ‘Send’ section and select USDC.
- In the textbox, state the amount of USDC you want to exchange.
- Now, click on the dropdown menu in the ‘Get Up To’ section and select BTC.
- You can now see multiple offers on the screen. You can sort the offers by ‘Best Rate’, ‘Fastest’, and ‘Best rating’.
- You will also find the exchange time taken for each transaction, the reviews on providers and their pros & cons on the same page.
- Choose the offer you want to proceed with and click on Exchange. Here, enter the wallet address to receive your BTC.
- Copy the generated USDC address and send your USDC deposit. Make sure the deposit sum matches the one you specified on Swapzone.
- Now, all you have to do is wait for the exchange partner to complete the exchange. It may take several minutes to hours, depending on the network.
- Once the transaction is done, rate the exchange partner to help users discover the best-rated partners.
USD coin is one of the fastest-growing stable coin ecosystems in the world. The USDC coin offers many advantages over fiat currencies and acts as a bridge between fiat and cryptocurrencies.