What is USDC? | Circle joins forces with Ant Group! In-depth analysis of USDC stablecoin Asian payment expansion and 59% APR arbitrage opportunities | USDC compliance revolution | USDC vs USDT | USDC USDT comparison

USDC is a 1:1 anchored dollar stablecoin issued by the CENTRE Alliance, dominated by Circle, with a circulation of 64 billion pieces (accounting for 18% of the world), and has been certified by the EU MiCA. It adopts full reserves (77% US Treasury + 23% cash), supports 55-chain cross-chain, and is used for transactions, cross-border payments and DeFi. Strong compliance is the core of institutional encryption configuration, and the short-term premium opportunity for Ant cooperation is available. USDC is a 1:1 dollar anchor stablecoin issued by the CENTRE Alliance (co-founded by Circle and Coinbase). It focuses on "full reserve digital dollar". The issuing entity is Circle (Nasdaq CRCL). Bank of New York Mellon serves as the fiat currency custodian. In July 2025, it became the first stablecoin to pass the EU MiCA certification. As of July 2025, its circulation volume was about 64 billion, accounting for 18% of the global stablecoin market, Ethereum chain accounted for 45%, and Solana chain increased to 30% due to low fees. Key processes include the first launch in 2018, the Silicon Valley banking crisis in 2023, and the rebuilding of trust through compliance and launching negotiations on blockchain integration with Ant Group in 2025. In terms of technology and mechanism, USDC adopts a 1:1 full reserve mechanism, and the reserve composition in 2025 is 77% short-term US bonds + 23% cash, which is disclosed by Grant Thornton LLP monthly audit; 55 public chains are seamlessly flowed through the CCTV protocol, supporting multi-network native casting, and promoting the annual increase in the circulation of Solana chain by 400%. A wide range of application scenarios: as a hedging tool in crypto trading, the exchange's USDC trading pairs account for more than 35%; in the field of cross-border payments, the handling fee in the Asian market is only 1/7 of traditional channels, and the payment is due in 10 minutes, and the traffic surges by 40% in 2025; in the DeFi ecosystem, although Circle does not pay interest, Aave and other agreements provide up to 59% APR pledge income to attract institutional arbitrage; it is also planned to connect to the Ant Group blockchain (annual transaction volume of US$1 trillion) to expand retail payments. Prices are normally stable, with a range of $0.9979-1.0025 in 99% of the time, with a volatility less than 0.03%. Historically, due to the Silicon Valley banking crisis, he was deaned to $0.87, and due to the LUNA collapse, hedging demand premiums to $1.06. Influencing factors include reserve transparency (cash coverage ratio below 80% may trigger a redemption wave), regulatory policies and additional issuance of competitors. Compared with competitors, USDC is more compliant than USDT with a market share of 61.9%, and is favored by traditional institutions; it is more compliant than RLUSD (Ripple) full-chain compliance and has deeper penetration of DeFi ecosystem. In terms of disputes, there are extreme situations in suspending redemption, the GENIUS Act prohibits interest payments to force funds to turn to high-risk DeFi, and faces the threat of CBDC replacement; development opportunities include cooperating with Ant Group to open up the Asian market, exploring RWA to increase reserve income, and participating in the Bank for International Settlements mBridge project exploration and cross-chain settlement of digital RMB. In terms of investment conclusion, USDC is the core entrance for institutions to allocate crypto assets, and has both "stable risk aversion" and "regulatory dividends". In the short term, the implementation of cooperation with Ant Group in the fourth quarter of 2025 may generate a 20% liquidity premium, and DeFi arbitrage can obtain 5%-59% APR (beware of smart contract risks); the mainstream institutional configuration adopts a "triangle strategy" (50% cash + 30% USDC DeFi farming + 20% Circle stock). [Note⚠️, cryptocurrencies are high-risk investments, and you may lose all your principal. If you don’t understand, it is recommended not to participate. This video does not have any investment advice, but is only shared as information] This video conducts a comprehensive analysis of the investment value of USDC, covering its basic overview, core mechanisms, application scenarios, risk characteristics, competitive product advantages and future prospects. #What is USDC#Circle #USDCvsUSDT #USDCUSDT Comparison#USDC Stable Coin