Home Altcoins News USD Coin (USDC) Tricking Latency and Improving User Experience with Gasless Spends

USD Coin (USDC) Tricking Latency and Improving User Experience with Gasless Spends

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The USDC transactions on the Ethereum Network come with a gas fees.  Users need to store ETH in their digital wallets to pay the gas fees. Thus, USDC users will have to hold a small amount of ETH.  The need to hold ETH to pay for gas fees is considered to be a major hurdle in the adoption process for USDC. To deal with this complexity USDC introduced the “gasless sends”.

Gasless sends was introduced in USDC 2.0, which enabled wallet holders and app developers to be able to outsource the process of paying the gas fees to another address.  This permits developers to either pay the gas fees themselves or permit some other third party services to pay the related fees.  Developers will be able to deduct the fees in USDC.  Thus, providing improved user experience for USDC holders. Wallet developers are now enjoying the advantage of gasless sends.

Jeremy Allaire, CEO of Circle and Circle Pay stated that Low-Cost and scalable USDC is growing fast.  He pointed to how ETH/EVM layer 2 – Maticnetwork > 33M USDC; Algorand USDC-ASA > 30M USDC; and Solana USDC-SPL > 45M USDC.

He pointed to how the network is growing fast and that this will be a much bigger part of the growth in 2021 as users are flocking in to speed and cost efficiency with more chains/layer2 coming.

Elon Musk recently expressed that money is just an information system for labor allocation.  He stated that what really matters is about making goods and providing services.  He also stated that it is important to look at money from an information theory standpoint, and that anything that has the least error and latency will win.

For clarity, Latency is the delay between a user’s action and a web application’s response to that action, often referred to in networking as the total round trip time it takes for a data packet to travel to get the action completed.

So, gasless sends in a way improve user experience, the money that has to be paid gets paid in some form or the other.

USD Coin (USDC) and FINCEN

About the recent regulation and comment period Jeremey states that it is a big win for the industry with Treasury FINCEN extending the comment period on new rules on crypto wallets.  He also stated that this topic will now get the appropriate time that it deserves. He also stated that they are looking forward to working with FINCEN to address these issues. 

So, FINCEN knew how to get the crypto guys involved and to bring all the rules to the table.  Issues brewing, we will wait to see the show.

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James

James T, a passionate crypto journalist from South Africa, explores Litecoin, Dash, & Bitcoin intricacies. Loves sharing insights. Enjoy his work? Donate to support! Dash: XrD3ZdZAebm988BfHr1vqZZu6amSGuKR5F

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