Circle has introduced a new standard called “bridged USDC” that allows developers to launch an unofficial version of the stablecoin USDC on new networks. This two-phase process involves the third-party developer initially controlling the token contracts, with the token being 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. The goal is to streamline the process of launching USDC on new networks and eliminate the need for migrations. If both parties decide to make the token official, they can seamlessly upgrade to native issuance in the future. Circle released the standard to reduce fragmentation and expand access to USDC. The documentation on Github provides guidelines for developers, including the use of a bridge with upgrade functionality and refraining from upgrading the bridge once the token is issued.
