Coinbase, one of the largest cryptocurrency exchanges in the market, has announced the unification of USD and USDC order books. This would allow traders and investors to deposit and withdraw funds (USD and USDC) more easily without focusing on one of these two currencies.
Coinbase Announces Unification of USD and USDC
Coinbase continues changes on its exchange. This time, the goal is to unify the USD and USDC order books by July 13. According to official announcementwith the merger of these two currencies, the order books will provide a more transparent trading experience with greater liquidity for USD and USDC.
Thanks to the merger, Coinbase users will be able to deposit in USD or USDC. This means that the account will be credited on a 1:1 basis in USD. Then, if a user wants to withdraw funds, they can choose to withdraw USD or USDC. At the same time, Coinbase Prime users can also convert USD and USDC free of charge and trade on USD order books.
Brain Armstrong, the CEO of Coinbase, said this is one of the main improvements they want to make to the exchange. On Twitter he wrote:
“Excited for unified USD order books – been on the list for a while. Love the amount of stuff we shipped last week (native DEX trading in our main app, Solana staking, etc). excellent product execution in declining markets is the solution.
It should be taken into consideration that stablecoins such as the USD Coin (USDC) have been considered a risk by many investors who have preferred to use fiat currencies rather than stablecoins to trade digital currencies. This comes after Terra USD (TUSD), one of the biggest stablecoins in the market, collapsed a few months ago.
Another thing we need to consider is that USDC is now the fourth largest cryptocurrency in the world and the second most valuable stablecoin in the market after Tether (USDT). Therefore, we see that this unification of USD and USDC order books could have a positive impact on investors in the cryptocurrency market, especially those who regularly use the Coinbase exchange.
According CoinGecko, USDC has a market capitalization of $56 billion, only $10 billion less than Tether, the largest and most popular stablecoin in the market. When it comes to trading volume, USDC is behind Tether. While USDT had a trading volume in the past 24 hours of $34.67 billion, USDC had a total trading volume of $4.06 billion.
Just to put it in comparison, Binance USD (BUSD), the stablecoin of the Binance exchange, had a trading volume over the same period of $3.46 billion but with a market valuation of $17.87 billion. dollars. Therefore, it would be interesting to see if the unification of USDC and USD order books on Coinbase would have a positive impact on trading volume for USDC and market capitalization in the weeks and months to come.