How to Buy USD Coin USDC Guide

how to buy usdc

Next, you’ll be prompted to enter the amount you’d like to purchase. That recent move now means either one dollar or asset-equivalent backs every USDC. Similar to concerns made about Tether, USDC was flagged last year for not backing each USDC with an asset or dollar equivalent. But there are challenges to having an asset’s value defined only by people’s perceptions, as demonstrated by Bitcoin’s volatile nature.

  • “It also enables the transfer of capital across different geographical jurisdictions much faster, especially compared to traditional wire transfers,” Manoppo says.
  • We may also receive payment if you click on certain links posted on our site.
  • Some products and services made available on the Circle Developer Platform (collectively, “Web3 Services”) are offered by Circle Technology Services, LLC (“CTS”).
  • The value of USDC is designed to remain stable, making USDC a stablecoin.
  • You can store Bitcoin, Ethereum, USDC, and several other assets on the wallet’s mobile app, free to download.
  • First, you need to set up an account on your choice of crypto exchange platform, listing USDC.

USD Coin was launched in 2018 by Centre, a consortium founded by Circle and Coinbase. It was created to be a regulated stablecoin that “works within U.S. money transmission laws and regulations” while running on blockchain technology. USD Coin’s main advantage is that it enables people to buy and sell other cryptocurrencies without having to move fiat currency in and out of exchanges. When crypto investors buy USD Coin, they expect one USDC to always be equal in value to one dollar. The most common use case is to purchase USDC, store it on an exchange or in a crypto wallet, and then use it to fund purchases of other cryptocurrencies. USDC is backed by real assets, and is sometimes referred to as a fiat-collateralized stablecoin.

Why Nexo Is the Right Place to Buy USD Coin

All you have to do is choose the spot trading section and locate the trading pair. The platform will also ask for a valid ID, such as a PAN or driver’s license, to verify your details. Once the verification or KYC is over, your account will be ready for use within a few hours. You can store your USDC on any Ethereum wallet,  like CoinStats Wallet or Coinbase wallet. Otherwise, you can use a more secure hardware wallet, like Ledger.

Each USDC is backed by one U.S. dollar, which is held in a bank account. A publicly available monthly audit by Grant Thornton LLP allows buyers to verify that USD Coin (USDC) is fully backed by USD and always 100% redeemable for dollars. Similarly, when a business wants to exchange their USDC for US dollars, the business can deposit USDC into their Circle Mint account and request to receive US dollars. This process of redeeming USDC is known as “burning.” This process takes USDC out of circulation.

Trading and Converting Your USD Coin

As USDC coins are available for direct purchase, you can buy them from any crypto exchange platform with a debit or credit card. The number of options available includes Binance, Kraken, Kucoin, etc. You need to check the deposit method of these exchanges, and if they allow you to use debit or credit cards, you can make the purchase. how to buy usdc The founders of Binance, Changpeng Zhao and Yi He, led it towards becoming the biggest crypto exchange platform in the world. It has the most significant trading volume of $76 billion and has over 90 million users globally. The platform has become a trustworthy exchange platform and provides access to over 350 digital tokens.

how to buy usdc

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