Alisa Davidson
Published: April 29, 2025 at 11:06 am Updated: April 29, 2025 at 11:06 am
Edited and fact-checked:
April 29, 2025 at 11:06 am
In Brief
Binance announced the completion of its integration of USDC on the Sonic network, with deposits now open for users.
Cryptocurrency exchange Binance announced the completion of its integration of USDC on the Sonic network, with deposits now open for users.
Currently, Binance supports USDC on Sonic as a bridged asset rather than a natively issued token. Sonic Labs manages the smart contract for USDC on Sonic, not Circle, the official issuer of USDC. As a result, this version of USDC is not directly issued or redeemable through Circle.
Earlier in the day, Circle shared plans to upgrade the Sonic blockchain from using bridged USDC to native USDC. Circle also noted that Sonic would adopt CCTP V2, the latest version of its Cross-Chain Transfer Protocol.
Sonic, a high-throughput Layer 1 blockchain compatible with the Ethereum Virtual Machine (EVM), is designed to support decentralized finance (DeFi) applications at scale. Its architecture allows for sub-second transaction finality and is theoretically capable of processing over 400,000 transactions per second, making it one of the most performance-oriented chains in the space. Since launching in December 2024, Sonic has quickly grown, becoming the leading network under the Bridged USDC Standard. As of now, the platform holds over $480 million in bridged USDC and nearly $1 billion in total value locked, spread across more than 125 applications.
Sonic supports a broad range of onchain applications, including decentralized exchanges, cross-chain liquidity protocols, high-frequency and derivatives trading platforms, payment services, and NFT marketplaces.
The network is now set to upgrade from bridged USDC to native USDC issuance. The upgrade will happen automatically, with no required action from developers or users. In addition, Sonic will integrate Circle’s Cross-Chain Transfer Protocol (CCTP) V2. This protocol allows for direct, secure transfers of USDC across several supported blockchains, including Avalanche, Base, Ethereum, and Linea, , with more expected. With no need to lock up liquidity, CCTP V2’s burn-and-mint process enables secure, near-instant, and capital-efficient USDC transfers across blockchains with enhanced composability for post-transfer actions.
The transition to native USDC on Sonic is designed to streamline the user and developer experience by enabling a smooth, automatic shift from bridged USDC to native USDC, with no need for code updates or asset conversions. Native USDC is fully backed, regulated, and redeemable at a 1:1 ratio with the U.S. dollar. It also enables eligible businesses to access institutional on- and off-ramps through Circle Mint and supports fast, secure integration across supported blockchain networks.
Sonic To Suspend Bridging On May 6 Ahead Of Native USDC Upgrade And CCTP V2 Integration
The asset upgrade process is expected to take place over the course of about a week. On May 6, Sonic will temporarily suspend bridging activity for bridged USDC on its primary bridge with Ethereum, during which any pending transactions will be finalized. Following this, control of the bridged USDC contract will be handed over to Circle, which will facilitate the upgrade to native USDC on Sonic. Once complete, Circle will implement CCTP V2 on the network, establishing direct USDC interoperability between Sonic and other blockchains including Avalanche, Base, Ethereum, and Linea.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
Alisa Davidson
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
