ETCSwap - USC and info.etcswap.org
• ETCswap Overview
The Ethereum Classic ecosystem welcomes the launch of its premiere USD-denominated stablecoin, Classic USD (ticker: USC). This announcement is made possible through a partnership between regulated stablecoin issuer Brale and the web3 development team at EthereumClassic.com. The USC stablecoin is fully backed by cash, cash equivalents, and short-term U.S. government bonds held in U.S. financial institutions. USC is always redeemable 1:1 for U.S. dollars with reserves reported daily by Brale. The USC stablecoin is a foundational component for on-chain fiat liquidity, regulated collateral, and real-time global settlement via the Ethereum Classic network.
Building around the USC Stablecoin
The regulated Classic USD (USC) digital asset is a necessary primitive component for Ethereum Classic’s decentralized financial (DeFi) ecosystem to grow. USC allows our team and the greater
Ethereum Classic ecosystem to build decentralized applications that source on-chain liquidity and execute settlement from a secure and transparent ETC/USC pair. This is Ethereum Classic’s first meaningful decentralized exchange market. Immediate use-cases for the USC token are:
Arbitrage Activity: With greater than 5% spot price volatility a common occurrence on the ETC/USD pair, users are incentivized by lucrative financial opportunity to arbitrage the the decentralized ETC/USC pair with the much larger centralized ETC/USD markets. Due to consistently high volume and mature liquidity, the ETC/USD market is widely supported in the centralized exchange ecosystem. The ETC/USD daily volume ranges from $100M to $1B in daily volume since 2018. This metric establishes ETC/USD as one of the strongest and most liquid trading markets out of all Layer 1 or Layer 2 networks.
Collateral: USC can be employed as collateral for on-chain perpetuals/derivatives, lending/borrowing, and collateralized debt position (CDP) protocols. These protocols are part of the composable DeFi protocol development path for the team at EthereumClassic.com.
Crowdfunding: An Initial DEX offering (IDO) through the ETCswap v3 protocol involves creating a liquidity pool with specific price ranges corresponding to the project token’s initial offering price, where participants contribute funds directly into the pool and receive tokens at a predetermined price within the specified ranges in a non-custodial environment. The USC digital asset allows development projects to sell their project’s ERC-20 tokens at a fiat value that is more closely correlated with the project’s USD-denominated development expenses. This reduces the risk of loss of value due to cryptocurrency volatility in the funds raised through the project’s IDO campaign.
Flash Loans: Flashloans from ETCswap V3 enable users to borrow a specific amount of assets from the protocol instantly and without collateral, as long as the borrowed amount is repaid within the same transaction, empowering sophisticated DeFi strategies such as arbitrage and liquidation.
Liquidity Mining: USC and ETC users are incentivized to provide liquidity to decentralized exchanges like ETCswap by rewarding them with transaction fees in proportion to their contribution to the liquidity pool of an asset pair. This fosters a vibrant and liquid decentralized ecosystem where ETC network users have the ability to earn passive income on their Ethereum Classic digital assets in a non-custodial manner.
Payments: Global, real-time payments on a widely adopted and integrated smart contract blockchain with 14 second block times and low network fees.
Price Oracles: TWAP oracles from ETCswap V3 provide Time-Weighted Average Price (TWAP) data over specific intervals, ensuring accurate and reliable pricing information for decentralized finance applications, enabling efficient trading strategies and mitigating risks associated with price manipulation.
Trading: As the first regulated, fiat-backed stablecoin on Ethereum Classic, USC enables on-chain settlement against ETC and other native digital assets through non-custodial decentralized exchanges like ETCswap.
Yield Farming: Users are able to lock their Ethereum Classic crypto assets in smart contracts to provide liquidity, and in return, they receive rewards in the form of additional tokens or interest.