Buy USD Coin

What is USDC?

USD Coin, also known as USDC, is a form of stablecoin. It is a cryptocurrency that works similarly to other crypto structures such as Bitcoin and Ether/Ethereum. However, it is designed to be less volatile than other forms of crypto, as it is tied to a fiat currency.

The coin was initially developed by the company behind Circle, a peer-to-peer payment solution, back in 2018. Circle itself had only been around for five years before the launch of USDC and had already achieved significant successes in the digital payments sphere. They decided to create a currency that provided an antidote to the uncertainty and volatility of the more traditional crypto market. This was achieved by attaching the currency's value to the United States Dollar — hence, USD Coin.

Many traders like the volatility offered by cryptocurrency and try to use this to their advantage as they buy and sell crypto on exchanges. However, this does not fulfil the original aim of cryptocurrency: to create a decentralised alternative monetary system that would rival already established forms of currency. Stablecoins can still be traded on exchanges, but they are also more suitable as an alternative form of currency.

What is USDC used for?

USDC can be traded and speculated on, just like other forms of cryptocurrency. For example, users can buy USDC and hold it with the expectation that it will increase in value in the future — but this is never guaranteed, even with a stablecoin.

Due to the relative stability of the USD Coin, users are more likely to adopt this coin as an alternative form of payment. The Visa network now supports the USD Coin, demonstrating the currency's increasing viability as a payment method and its growing reputation in the market.

Traders can also exchange USDC for other forms of currency. They might decide to change USDC to AUD, for instance, to receive the equivalent amount in Australian Dollars. USDC can also be used to exchange for other forms of cryptocurrency, a popular strategy for traders seeking to diversify their crypto portfolio and other investments.

How is the price of a USD Coin determined?

The price of the USDC Coin is tied to the value of the United States Dollar. If the USD goes up or down in value, the USD Coin should follow suit, moving in the same direction and at the same magnitude. As the United States Dollar is one of the world's most commonly accepted and traded currencies, this is intended to add an element of trust and reliability to the USD Coin.

Get started trading USDC with BTC Markets

Many Australians are interested in diversifying their crypto assets and connecting with viable alternative payment methods. This is why stablecoins like USDC are becoming increasingly popular in today's market. Here at BTC Markets, we provide a convenient and reliable platform, making it easy to buy USDC, whether you are an experienced investor or still honing your skills. Sign up for a BTC account today on our website or get in touch with our team to learn more.