Circle's USDC stablecoin has launched on the XRP Ledger (XRPL), marking its availability for users of this layer-1 blockchain network. With a market capitalization surpassing $61 billion, USDC is now the second-largest stablecoin after Tether's USDt. The introduction of USDC on the XRPL allows investors to utilize XRP as a bridge currency, facilitating the transfer of stablecoins between decentralized exchanges through an auto-bridging feature. Ripple's senior vice president, Markus Infanger, emphasized that stablecoins serve as vital links between traditional financial markets and cryptocurrency, playing a crucial role in utility-focused applications. This move comes amid a broader push in the U.S., where concerns about offloading government debt and the declining value of the dollar have led to positive views on stablecoins. Treasury Secretary Scott Bessent stated that stablecoin development could enhance the salability of the U.S. dollar globally, although critics warn it may be an ineffective short-term fix for systemic issues. Additionally, stablecoins backed by gold are gaining attention as potential alternatives due to gold's proven ability to retain value during inflationary periods.

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