Cryptocurrency exchange and brokerage giant Coinbase has provided a major stamp of approval to one of several recently launched USD-pegged cryptocurrency “stablecoins” seeking to supplant tether (USDT) as the leader in this burgeoning market niche.
The San Francisco-based Coinbase on Tuesday announced that beginning today, customers can buy, sell, send, and receive USD Coin, the cryptocurrency initially launched by fellow cryptocurrency unicorn Circle.
Coinbase customers throughout the world can send and receive the token, which is backed by physical dollars stored in company-controlled bank accounts, while U.S. customers — excluding those in New York — can buy and sell the token on Coinbase.com. USDC is not currently listed on Coinbase Pro — the firm’s order-book cryptocurrency exchange — though the company says it will be added to this platform “in the coming weeks.”
Coinbase also noted that stablecoins like USDC are ideal for business purposes and e-commerce applications, as payments denominated in these tokens can be made at any time of day without the inherent risks of price volatility associated with using bitcoin and other cryptocurrencies as working capital.