Crypto derivatives exchange Bybit will expand its range of USDC-related products in cooperation with USDC stablecoin provider Circle. Also, users of this exchange will have access to the automatic conversion of USDC and USD stablecoins.
According to Mihan Blockchain and quoted by Cointelegraph, the crypto derivatives exchange ByBit has collaborated with Circle, the issuer of USDC stablecoin, to expand its set of trading currency pairs in terms of USDC. Circle said this move will increase access to USDC-based products for retail traders and institutional investors.
Following this cooperation agreement, ByBit Exchange will expand its USDC-based spot trading currency pairs to include more cryptocurrencies and enable automatic conversion of USD and USDC. ByBit has said it plans to work with Circle on other projects and programs to promote stablecoin and crypto adoption. Currently, Baybit exchange supports approximately 35 USDC trading currency pairs.
Bybit has started offering USDC standing contracts and option contracts since April this year, offering traders more opportunities to protect their capital against market fluctuations.
At that time, Baybit CEO Ben Zhou said that offering options contracts was in response to growing user demand. On Wednesday, Ben Zhu said that the launch of USDC stablecoin options has been a successful move, and Baybit Exchange is looking to develop and expand working relationships with Circle.
In addition to USDC options, Baybit will soon offer Ether and Solana options to traders.
It is worth mentioning that USDC, with a market value of 52.3 billion dollars, is the second stable coin market in this respect. However, the stablecoin USDT has a larger market share than USDC with a market cap of $67.6 billion.
Author’s comment: The stablecoin USDC was able to maintain its stability well in the disaster of the collapse of Terra and its algorithmic stablecoin, UST, which was accompanied by the slide of Tether, and gained the trust of users of the crypto space. Also, the collapse of Terra made the entry of lawmakers into the stablecoin space one of the concerns. The emergence of this concern worked out in favor of USDC because of all the stablecoins, USDC has a better middle ground with US regulators. This caused a significant growth in the market value of USDC and reduced its difference with Tether.
But one of the criticisms of Circle is its low volume of transactions and its low use in the DeFi space. The major use of USDC to date has been staking by large investment institutions in the United States as a means of generating guaranteed interest. It seems that Circle is trying to change this trend and enter the competition with Tether in terms of transaction volume.