USDC soon to be off the Tron blockchain

Circle stops supporting the USDC stablecoin on the Tron blockchain. The decision is in line with "efforts to ensure USDC remains reliable, transparent and secure," the company writes in a new blog post.

"Effective immediately, we will no longer mine USDC on Tron," the company continued. Support for the Tron network will be phased out. USDC transfers from business customers of Circle Mint to other blockchains will be supported for now until February 2025.

Retail customers can transfer USDC to other blockchains and redeem them at crypto exchanges and brokers. Circle gave no clear reason for the decision, but said it would "continually assess the suitability" of blockchains as part of its risk management system.

Just last month, Circle filed for an IPO in the United States. The stablecoin USDC issued by the company has a market capitalization of nearly $28 billion. This makes it the second largest stablecoin after Tether's USDT with a market capitalization of USD 97 billion.

USDC worth USD 335 million is currently being held on Tron. In November, Circle denied allegations that it provided services to Tron founder Justin Sun. Earlier, a ethical group spoken on the company's involvement in the Tron network.

Tron founder Justin Sun became sued by the SEC for allegedly inflating trading volume artificially and selling Tron tokens as unregistered securities. Sun rejected the SEC's allegations as baseless.