Steemit Crypto Academy - Week 7 - Homework Post for @yohan2on

Hello awesome people, how is everyone doing today, it is a new week and I hope everyone is going to have an amazing week ahead. Super excited for this new week and to be part of this week’s amazing lecture and to partake on the week 7 course. I’m really enjoying this lectures and for me, it is always a great to continue learning new things and also a medium expand my knowledge and understanding on topics relating to blockchain and cryptocurrency. We are in week 7 and this week’s topic still covers stable coins … In this post, I will be sharing my knowledge on another popular stable coins out there… Stable coins are great as far as cryptocurrency is concerned and they have amazing benefits and uses… so in this post, I will be writing about one of the stable coins.

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USD Coin (USDC)

USD Coin is basically one of the top stable coins out in cryptocurrency. The USDC stable coin is backed by the US dollar. It is a fiat collateral stable coin and a decentralized digital asset on the blockchain. The USC Coin is pegged to the US Dollar so as to stabilize it against the volatility of cryptocurrencies… This means that 1USDCoin is supposed to be 1USD. The USD Coin was launched in 2018 and is managed by a joint effort of Coinbase and Circle. One of the main aims of the USD Coin is to tokenize US dollars and promote their use over the internet. The USDC or USC Coin can be converted to the USD at any time. USD Coin is an ethereum-based stable coin and its issuance is executed through the ERC-20 smart contract.

Benefits of the USD Coin

The USD Coin has proven itself to be one of the top stable coins in the crypto world and offers a lot of benefits…

• It is powered by the ethereum blockchain which means it is secured and decentralized.
• USDC inherits all the benefits of a blockchain and what it has to offer
• USD Coin is in full compliance with the legislation
• USD Coin possess the standards of banking organizations
• USD Coins have proven to offer great benefits for investors and cryptocurrency traders.

Features of the USD Coin

• Pegged to the US Dollar
• Built on the Ethereum blockchain
• Decentralized
• Executed through the ERC-20 smart contract
• Easy use on various DApps

How USD Coin Derives its Value

USD Coins are basically a tokenized USD. The value of the USD Coin is pegged to the US Dollar. USD Coins are minted with a guarantee that every USD Coin is backed with a single US dollar which in other words means 1 USDC to 1USD. We all know that the US Dollar is backed by the economy of the US, so the value of the USDC is derived from that USD relationship.

The Tokenization Process of USD Coin

The USD Coin goes through a three step process in order to complete the tokenization of the USD through the use of smart contracts. The process works by a user sending USD to the issuer’s (USD Coin issuer) bank account, then the issuer makes use of smart contract for the USDC to create the same amount of USDC equal to the USD, then the USD Coin which are freshly minted will be sent to the user and the USD equivalent will be substituted and held in the reserves of the issuer.

USD Coin Current Chart

USD Coin Supply Statistics

Based on the current statistics on the coinmarketcap website, USD Coin has a current martketcap of $9,931,908,495, Fully diluted marketcap of $10,169,809,894, Circulating Supply of 9,923,704,136 USDC, Total Supply of 10,162,797,934 USDC and no current Max supply data.

USDC Markets/Exchanges

USD Coin is a very popular cryptocurrency that is used by a lot of users in the cryptocurrency space. Because of its popularity and use cases, it is available in a variety of top exchanges like Binance, Coinbase, Kucoin, Huobi and a host of other popular exchanges. This makes the USD Coin to be easily traded on popular exchanges.

What Makes USD Coin Unique?

The USD Coin gains its uniqueness because of its transparency and the assurance that it gives, assuring that 1USDC will be 1USD without any problems. Also, the firms that are managing the USD Coin oozes trust and also are regulatory compliant. The USD Coin is a well-funded project which guarantees it progress and success.

Cc:
@steemcurator01
@steemcurator02
@steemitblog
@yohan2on