Circle and Coinbase's Centre Seeks to Form Consortium to Promote, Issue USDC

Circle partnered with crypto exchange and wallet company Coinbase to launch a consortium called Centre that will support and develop USD Coin.What is the consortium about?Centre is a membership-based framework and governance scheme with an overall aim of growing and developing the idea of digital money.

USDC is reportedly 100% backed by United States dollar reserves, and enables customers to tokenize dollars as USDC and redeem USDC for dollars.

The Centre consortium acts as a watchdog over the institutions issuing USDC to fiat conversions.

Now, Coinbase and Circle have jointly announced that membership in the Centre consortium is open to other entities looking to participate and own the right to issue or redeem USDC.Why new members now?Circle and Coinbase's vision is to build interoperable protocols and standards for an open global financial system.

Centre is looking to partner with institutions that will contribute to the development of the Centre network.

Ultimately, bringing new members into the Centre consortium is set to enable better standardization for USDC issuers across the globe.

These reserves are set to be audited by Centre on a monthly basis to ensure 100% USDC backing with fiat.

A company will be able to build a lending platform using USDC. As part of the Centre consortium, members also get to play a vital role in determining the future development of the Centre network.

These companies, together with the exchange platforms listing USDC, are driving interest among institutions that want to become members of the Centre consortium.

Going forward, Centre plans to grow its fiat token support beyond the U.S. dollar by building an infrastructure that will support new currencies on the Centre network.