Float SV, the digital currency exchange focused on trading Bitcoin SV (BSV) and the tokenized assets running on the BSV blockchain, recently added support for USDC. The addition of USDC increases Bitcoin’s liquidity and allows traders to use a stablecoin that is more transparent and therefore, more reliable than Tether (USDT).
Float jointly commits to increasing USDC liquidity by also adding the 10 trading pairs including BSV/USDC. This combined listing and orderbook sharing will significantly boost liquidity in a new stablecoin market. https://t.co/3pdGfv3Gav
— FloatSV (@FloatSVcom) March 27, 2020
USDC over Tether
“More liquidity, especially in the USD market, helps merchants and miners better hedge their money flows, ultimately making Bitcoin more useful,” said Jack Liu, the founder of Float SV. “Adding USDC is very helpful to some BSV participants as they prefer a more regulated and transparent stablecoin. USDC dollar reserves are shown on a monthly basis.”
USDC is a U.S. dollar-backed stablecoin issued by the peer-to-peer payments provider Circle. Unlike Tether (USDT)—the most-used stablecoin on the market—whose reserves have been called into question and proven to be exaggerated, USDC is transparent, and a report regarding its reserves is published monthly by accounting firm Grant Thornton LLP.
“A couple of summers ago, a wave of stablecoin entrants to compete with Tether was introduced and USDC stood out as the biggest challenger to Tether,” said Liu.
Everyone can see the reserves backing USDC and therefore it is more likely than Tether to persist into the future. These elements also position USDC to become the more popular, more used stablecoin. When dealing with any stablecoin, it is optimal to know if it is backed in full by the underlying asset the issuing company says it has in its reserves. If stablecoin reserves are not transparent, then you are really just working with a money system that was built on a house of cards—a system that can collapse. A system where the founders could be thrown in jail and the money system taken offline at any time as a result. But when you are dealing with USDC, you do not need to worry about any of this.
What this means for Bitcoin
The addition of USDC on Float SV means that Bitcoin has a new onramp/offramp, in other words, BSV is now more liquid than it was before. The addition of USDC means there are more ways for individuals to enter (or leave) the BSV market.
In a world where so many exchanges throttle BSV usage by requiring a ridiculous amount of block confirmations before allowing BSV to appear in their exchange wallet or cold storage, this is crucial.
Float SV even takes Bitcoin liquidity one step further, on top of having the lowest fees for withdraws, through a partnership with RelayX’s Instant product, users can move BSV into and out of Float with 0 confirmations, in other words, instantaneously. Given that other exchanges may delay BSV deposits or withdraws for up to 10 hours because they require a large number of confirmations for BSV transactions, this is a huge benefit to anyone in or looking to enter, Bitcoin SV.
New to blockchain? Check out CoinGeek’s Blockchain for Beginners section, the ultimate resource guide to learn more about blockchain technology.