Circle launches 'bridged USDC standard' for deploying to new networks

• Circle has introduced a new standard called the "bridged USDC standard" to simplify the process of launching its stablecoin, USDC, on new networks.
• The standard involves a two-phase process where a third-party developer initially controls the token contracts, and the token on the new network is backed by a native version on another network.
• In the second phase, Circle takes control of the contracts, and the token becomes backed directly by Circle's reserves, although this phase is not mandatory for all deployments.
• The token produced in the first phase is unofficial but serves as a proxy to USDC in any bridging-enabled ecosystem.
• If desired, Circle and the third-party developer can seamlessly upgrade the token to native issuance in the future.
• The new standard aims to eliminate the need for migrations, allowing unofficial tokens to become official without requiring users to swap them.
• Developers using the standard must follow specific guidelines, including using a bridge with upgrade functionality and refraining from upgrading the bridge once the token is issued.
• When transitioning the token to an official version, the third-party developer can freeze new mints on the bridge and reconcile bridging activity to align the total supply of native USDC.
• Ownership of the contract can then be transferred to Circle, resulting in the burning of native coins backing the tokens on the new network and direct backing by Circle's reserves.
• Circle previously launched native versions of USDC on Base network and Polygon.

The article presents a positive development by Circle, introducing a new standard to streamline the process of launching USDC on new networks. The standard aims to eliminate the need for migrations and provides flexibility for developers to upgrade tokens seamlessly.