Circle has launched its USD Coin (USDC) on the Sui network, causing a 7.5% surge in SUI’s price. With this launch, USDC now operates on 16 blockchain networks, further expanding its reach and influence in the crypto space.
USDC Launch on Sui Network Sparks Price Increase
Circle’s CEO, Jeremy Allaire, announced that USDC will be natively supported on the Sui network through the Cross-Chain Transfer Protocol (CCTP). This development enhances USDC’s interoperability across multiple blockchains, while also boosting Sui’s usability and security.
Sui, known for using the Move programming language for parallel transaction execution, will now offer developers and users enhanced capabilities with the integration of USDC. This addition strengthens Sui’s standing as a prominent layer-1 blockchain in the Web3 ecosystem.
USDC Expands Across Blockchains
USDC, which initially launched as an ERC-20 token on Ethereum, has continued to expand its presence across various networks, including Algorand, Celo, and Solana. With the integration of Sui, Circle is emphasizing its dedication to increasing USDC’s reach and utility in decentralized finance (DeFi).
Additionally, Circle plans to extend USDC support to Soneium, an Ethereum Layer 2 solution developed by Sony Block Solutions Labs. These expansions indicate a clear strategy to cement USDC as a leading stablecoin across a range of blockchain environments.
Strategic Collaborations Strengthen Stablecoin Ecosystem
The launch of USDC on Sui coincides with new partnerships in the blockchain space. Chainlink Labs and Fireblocks have teamed up to enable banks and financial institutions to issue stablecoins more easily. This collaboration enhances the framework for digital currency management, potentially driving further adoption of stablecoins.
In parallel, WhaleAlert recorded a massive minting of 50 million USDC, valued at $50 million, directly at the USDC Treasury on Ethereum. This large-scale minting often signals growing demand for USDC in the market.
Market Response to Sui Price Surge
Following the USDC launch on Sui, the price of SUI experienced a sharp increase. SUI climbed from $1.10 to $1.175, reflecting a 7.5% rise in just 24 hours. This price movement highlights the market’s positive reaction to the expanded capabilities and strategic partnerships within the blockchain and stablecoin ecosystems.
