Router Protocol, a cross-chain infrastructure platform designed to allow communication between blockchains, has integrated Circle’s Cross-Chain Transfer Protocol to make the stablecoin USD Coin (USDC) interoperable. The development comes about two months since Circle unveiled its Cross-Chain Transfer Protocol to allow for its stablecoin to be used natively across blockchains.
Announced via a press release on Monday, 12 December 2022, the testnet integration is a major development for Router as it brings more functionality to the blockchain layer’s suite of products.
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Specifically, the partnership with Circle is set to allow for further scalability across the network, ensuring developers have easy access to multiple blockchains without having to pre-fund USDC. It’s a solution that brings seamless interoperability and one with a lot of benefit to users – particularly where there is increased capacity to scale volume and liquidity across multiple blockchains.
Router Protocol CEO and co-founder Ramani Ramachandran said in a statement that the platform’s products make it easy for decentralised applications, or dApps, to go multi-chain “with just a few clicks.
USDC integration brings near infinite liquidity to users
According to Ramachandran, the cross-chain transfer protocol for USDC significantly improves on Router’s solution, taking it to the next level by making it possible for any app to access near-infinite liquidity.
Router users do not have to maintain USDC liquidity virtually on every chain, a factor that added to security vulnerability as well as impacted liquidity. But as the Cross-Chain Transfer Protocol allows for native USDC transfers, the integration adds to capital efficiency and helps streamline user experience.
Per the Router team, the USDC cross-chain transfer feature is now live on testnet for two leading chains – Ethereum and Avalanche. The protocol plans to expand the solution to more chains in 2023, including to Solana.
As previously reported, Router Protocol already supports a cross-chain bridge feature dubbed ‘Voyager’ that does not just seek to advance blockchain interoperability, but also enhance the future of a chain-agnostic Wed3.