Circle Paymaster simplifies onchain payments with USDC support
Circle Paymaster simplifies onchain payments
Circle, the global payments company and issuer of USD Coin (USDC), has unveiled Paymaster, a groundbreaking solution allowing users to pay blockchain gas fees in USDC.
The service, now live on Ethereum-based Arbitrum and Base networks, seeks to simplify onchain transactions by eliminating the need for native tokens like ETH, according to Coingape.
Traditionally, users must hold native tokens to pay gas fees for transactions, often leading to operational friction. This requirement can be a significant barrier for individuals new to the blockchain ecosystem or for those who primarily hold stablecoins.
With Paymaster, Circle is addressing these challenges, enabling a seamless and user-friendly experience.
Transforming Gas Payments Across Blockchains
In a social media post, Circle emphasized the simplicity Paymaster brings to blockchain transactions: “No more juggling tokens across blockchains—simply use USDC for payments, transfers, and gas fees.” The company currently charges a 10% fee on gas costs per transaction, though this fee is waived until June 30 to encourage adoption.
Looking ahead, Circle plans to expand Paymaster to other blockchain networks, including Ethereum, Polygon PoS, and Solana. This expansion aligns with the company’s broader vision of promoting stablecoin adoption and fostering interoperability across decentralized ecosystems.
The launch of Paymaster coincides with Circle’s acquisition of Hashnote, a firm managing a $1.3 billion tokenized money market fund. Together, these initiatives reflect Circle’s commitment to integrating traditional finance with blockchain technology.
By streamlining gas fee payments and advancing stablecoin applications, Circle continues to position itself as a leader in the evolving digital financial landscape.
Also, Circle recently has contributed $1 million in USDC to President Donald Trump’s inaugural committee. CEO Jeremy Allaire highlighted the milestone as a testament to the growing acceptance and potential of digital dollars.
