XDC Debuts Native USDC via CCTP V2 to Boost Cross-Chain DeFi

Published: 2025-09-17 19:15:43 |

XDC Network has launched native USDC support on its XinFin blockchain using Circle’s Cross-Chain Transfer Protocol V2 (CCTP V2). This update eliminates wrapped tokens by burning USDC on the source chain and minting directly on XDC, cutting fees and settlement times for traders. Coupled with Circle’s earlier Gateway rollout, USDC now spans 24 blockchains, including Ethereum, Solana, Polygon and Avalanche, enhancing cross-chain liquidity and DeFi interoperability. Enterprise-grade security and compliance lower bridge risks, while permissionless transfers via CCTP-compatible wallets open new lending, borrowing and DEX opportunities on XDC. These upgrades position XDC as a scalable, cost-effective alternative for institutions and developers in the stablecoin market.

Neutral

This integration of native USDC on XDC via CCTP V2 primarily enhances usability and liquidity across blockchains without altering USDC’s peg. In the short term, traders benefit from lower fees, faster settlements and streamlined cross-chain transfers, potentially increasing USDC transaction volumes on XDC but not its USD value. Long term, improved security and DeFi interoperability may drive broader adoption of USDC on emerging networks, reinforcing its market position. Overall, the news supports operational growth and market depth but is unlikely to move USDC’s price away from its stable $1 peg, resulting in a neutral market impact.