The upcoming migration plan is expected to accelerate the adoption of native USDC and drive the growth and optimization of the Sui DeFi ecosystem.
Author: NAVI
Compiled by: TechFlow
At the recent Token2049 event, the Sui Foundation announced that it will soon support native USDC on the Sui network.
Currently, NAVI is the leading DeFi protocol on Sui, with $120 million in USDC liquidity, the third largest USDC supply in the industry, second only to Aave and Compound. As the first liquidity protocol on Sui, NAVI will integrate Circle's native USDC assets on the first day of launch.
Sui is the latest to join as more blockchain networks adopt USDC. As a result, permissionless composability, one of the core principles of Web3, becomes increasingly important. This principle drives the rapid development of new applications and blockchain networks by leveraging existing open technologies.
Circle’s USDC stablecoin is integrated directly into the Sui network, increasing capital efficiency and improving the user experience in multiple ways.
This achievement solidifies Sui’s position in the blockchain industry, and NAVI will fully support native USDC by providing a range of migration features and a capital-efficient native USDC liquidity pool.
Native USDC vs. Bridged USDC on SUI
On the Sui network, native USDC has significant advantages over bridged USDC (wUSDC). Native issuance ensures that the asset has sufficient reserves and is always convertible to USD at a 1:1 ratio. This provides developers and users with a higher level of trust as they can rely on the integrity of the underlying assets.
The introduction of native USDC simplifies the transaction process on the Sui network and enhances the liquidity of the ecosystem. Users can now obtain USDC directly on Sui, which not only simplifies the operation process, but also enhances the overall value of participants.
Additionally, with the adoption of the Cross-Chain Transfer Protocol (CCTP), users can eliminate the delays typically associated with bridge withdrawals, setting a new standard for blockchain efficiency.
NAVI already supports native USDC
In order to achieve higher asset composability on the Sui network, the NAVI protocol will fully integrate native USDC as part of the lending liquidity pool. As an overall plan for the ecosystem, NAVI plans to incentivize users to fully switch from bridged USDC to native USDC.
To this end, NAVI will launch a variety of in-app features to simplify the transition process, including native USDC liquidity support, flash loan functions, etc. A detailed migration plan will be announced in the coming days, introducing the steps for a smooth transition.
This full migration is expected to significantly improve user experience and promote widespread adoption of the Sui ecosystem.
Summarize
The introduction of native USDC on Sui is an important upgrade to the bridge version, bringing more powerful features and better user experience.
NAVI Protocol is committed to providing the best lending experience, integrating native USDC, which is fully backed by the US dollar and redeemable 1:1. The upcoming migration plan is expected to accelerate the adoption of native USDC and drive the growth and optimization of the Sui DeFi ecosystem.
Contact Details:
Ivan Djordjevic
team@naviprotocol.io
