Circle Accelerates USDC Cross-Chain Transfers to Mere Seconds

Circle has unveiled an update to its Cross-Chain Transfer Protocol (CCTP V2), reducing the time for processing cross-network USDC transactions from 13-19 minutes to just a few seconds.

CCTP V2 is an enhanced version featuring “a new set of smart contracts and API,” which accelerates asset movement between Ethereum and L2 networks.

Circle’s Head of Product, Nikhil Chandhok, noted that the update simplifies cross-chain transfers and enables low-latency scenarios, such as in crypto capital markets.

According to the company, since CCTP’s launch in 2023, it has processed over $36 billion in transaction volume.

The first version will continue to operate on 11 blockchains, and Circle plans to add more networks to CCTP V2 throughout the year.

Among the new features is the Hooks mechanism, allowing developers to “automate actions post-transfer on the target blockchain.”

USDC remains the second most popular stablecoin with a market capitalization of $58 billion, according to CoinGecko. Its main competitor, Tether’s USDT, currently leads the “stablecoin” segment with a corresponding figure of $142.9 billion.

In 2024, the circulation of the Circle-backed asset grew by 78%, and the total transaction volume with USDC since its launch exceeded $20 trillion.