tl;dr
Circle and cryptocurrency exchange OKX have partnered to offer zero-fee conversions between USDC stablecoin and the US dollar at a rate of $0.9999 on OKX. This collaboration simplifies direct USD to USDC swaps, creating a seamless on- and off-ramping experience. The partnership leverages OKX’s banki...
Stablecoin issuer Circle has teamed up with major cryptocurrency exchange OKX to enhance liquidity for conversions between its USDC stablecoin and the US dollar. This collaboration introduces zero-fee USDC to USD conversions at a rate of $0.9999 on the OKX platform, creating a seamless, transparent on- and off-ramping experience for users.
Circle’s chief business officer, Kash Razzaghi, highlighted that users can now directly convert USD to USDC and vice versa within OKX, simplifying the process considerably. OKX’s chief innovation officer, Jason Lau, emphasized that the upgraded USDC liquidity benefits from OKX’s strong banking partnerships and compliance measures, enabling fee-free, frictionless swaps between USD and stablecoins for the first time.
Despite stablecoin adoption growing, challenges persist such as network transaction fees and complications in bank-to-exchange transactions, noted Ashley Lannquist, former IMF digital finance analyst. Circle supports USDC across 23 networks, while OKX currently offers USDC on 12 major networks including Ethereum, Aptos, Avalanche C-Chain, Solana, and others. Although the partnership does not reduce network fees, it streamlines infrastructure and eases the conversion experience.
Lau described past frictions in the stablecoin-to-USD swaps related to orderbook depth and trading fees. The partnership eliminates these issues by enabling 1:1 conversions and integrating with banking partners to create smooth fiat ramps for both retail and institutional users.
To deepen USDC liquidity for its 60 million global users, OKX collaborates with financial institutions such as Standard Chartered Bank, DBS, and Bank Frick, in addition to payment solutions like Apple Pay and PayPal. These channels will make the new conversion features broadly accessible to users with USD and USDC holdings on OKX.
Circle’s Razzaghi also noted that the conversion improvements will be integrated across various OKX services, including trading, sending, and holding USDC. Meanwhile, OKX maintains robust liquidity support for Tether’s USDT, the largest stablecoin by market cap, boasting significant daily trading volumes exceeding $330 million in popular pairs like ETH/USDT. OKX continues its efforts to enhance liquidity in collaboration with multiple stablecoin issuers, addressing the growing demand within the ecosystem.