The Sui Foundation has recently announced support for native USDC on the Sui network. NAVI, the inaugural and leading DeFi and liquidity protocol on Sui, announced that it would integrate Circle’s native USDC asset on DAY 1.
This represents the third biggest USDC supply in the sector, after Aave and Compound, with $120 million in USDC liquidity. Capital efficiency is increased and user experience is improved across the ecosystem with the direct integration of Circle’s USDC stablecoin into the Sui network.
In order to provide digital currency for payments and liquidity to billions of people worldwide, Circle is creating the biggest and most widely used stablecoin network. Currently ranked second in terms of market capitalization, USDC is managed by the firm. By fusing the speed of the internet with the strength and reliability of US dollars, it lays the foundation for a brand-new, decentralized global financial system.
Sui’s position in the blockchain sector is strengthened by this action, which also improves user experience and encourages broader adoption of the Sui ecosystem. NAVI fully supports native USDC and offers a suite of in-application migration features, as well as a capital-efficient native USDC Liquidity Pool with features like flash loan capabilities and native USDC liquidity support.
With Sui being the most recent blockchain network to adopt USDC, the role of permissionless composability, which makes use of already-existing open technologies, has propelled the quick growth of new applications and blockchain networks.
Native vs Bridged USDC on Sui
The Sui network now has native USDC, which streamlines transaction procedures and increases ecosystem liquidity. Now that users may access USDC directly on Sui, procedures will be streamlined and participant value will increase overall.
Furthermore, by using Cross-Chain Transfer Protocol (CCTP), users may do away with the delays that are usually connected to bridge withdrawals, setting a new benchmark for blockchain efficiency.
When it comes to benefits over bridged USDC (wUSDC), native USDC is superior. The asset is totally reserved and may always be redeemed 1:1 for US dollars, thanks to native issuance. Because they can depend on the integrity of the underlying asset, this gives developers and consumers alike an extra degree of confidence.
Native USDC on NAVI
To achieve optimal asset composability on the Sui network, the NAVI Protocol will include native USDC as a lending and borrowing liquidity pool to the fullest extent possible. NAVI wants to encourage consumers to switch from bridged USDC to native USDC completely as part of a larger ecosystem strategy. The first native liquidity protocol on the Sui network is NAVI. In the Sui DeFi ecosystem, it aims to become the leading liquidity protocol and lays the foundation for chains built on the Move system.
In order to provide the greatest lending and borrowing experience possible, NAVI Protocol has integrated native USDC, which is completely backed by US dollars and redeemable 1:1. It is anticipated that the impending migration plan would hasten the acceptance of native USDC, consequently fostering the expansion and enhancement of the Sui DeFi ecosystem. In the next days, a thorough migration plan that outlines the procedures required for a smooth transfer will be released.
