Company
Date Published
Author
Team Circle
Word count
710
Language
English
Hacker News points
None

Summary

The guide from Circle Internet Financial provides an in-depth comparison between bridged USDC and native USDC, emphasizing the importance of transitioning to native USDC on Plume for enhanced security and efficiency. Bridged USDC, which is created via third-party applications when USDC is locked on one blockchain and a synthetic version is minted on another, can lead to a fragmented user experience due to its many disparate forms. In contrast, native USDC is the official version issued by Circle, fully backed by liquid assets, and always redeemable 1:1 for US dollars, thus offering a more seamless and secure transaction experience. The guide suggests best practices for developers to support both forms, recommending native USDC as the default option due to its support for institutional on/off-ramps and compatibility with the Cross-Chain Transfer Protocol. It also offers strategies for developers to facilitate the migration from bridged to native USDC, including creating swapping mechanisms and utilizing DeFi protocols on Plume.