Crypto exchange Coinbase Global Inc COIN plans to merge its U.S. dollar order book with its USD Coin USDC/USD order book.
What Happened: In an announcement on Wednesday, Coinbase said it plans to unify the two order books to create “more seamless trading with deeper liquidity.”
On July 13, Coinbase Exchange will be unifying USD and USDC order books. As part of the unification process, USDC order books will be merged under USD order books to create a better, more seamless trading experience with deeper liquidity for USD and USDC.— Coinbase Exchange (@CoinbaseExch) June 29, 2022
The order book merge will come into effect on July 13 across all Coinbase trading platforms, including Advanced Trade.
“Coinbase Exchange users will be able to deposit USD or USDC and their account will be automatically credited on a 1:1 basis with USD,” said the exchange.
“The unified USD balance can be used to trade on USD order books or withdrawn to either USD or USDC.”
Some market participants were opposed to the move to treat both assets as the same, seeing as USDC is a dollar-pegged stablecoin that exists independently on the blockchain.
See Also: HOW DOES COINBASE MAKE MONEY?
Price Action: According to data from Benzinga Pro, Coinbase shares closed 2.79% lower on Wednesday.
Bitcoin BTC/USD was trading at $20,076 at press time, down 1.03% over the last 24 hours. Ethereum ETH/USD was trading at $1,091, down 4.74% over the same period.
Photo via Iryna Budanova on Shutterstock
© 2022 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Ad Disclosure: The rate information is obtained by Bankrate from the listed institutions. Bankrate cannot guaranty the accuracy or availability of any rates shown above. Institutions may have different rates on their own websites than those posted on Bankrate.com. The listings that appear on this page are from companies from which this website receives compensation, which may impact how, where, and in what order products appear. This table does not include all companies or all available products.
All rates are subject to change without notice and may vary depending on location. These quotes are from banks, thrifts, and credit unions, some of whom have paid for a link to their own Web site where you can find additional information. Those with a paid link are our Advertisers. Those without a paid link are listings we obtain to improve the consumer shopping experience and are not Advertisers. To receive the Bankrate.com rate from an Advertiser, please identify yourself as a Bankrate customer. Bank and thrift deposits are insured by the Federal Deposit Insurance Corp. Credit union deposits are insured by the National Credit Union Administration.
Consumer Satisfaction: Bankrate attempts to verify the accuracy and availability of its Advertisers' terms through its quality assurance process and requires Advertisers to agree to our Terms and Conditions and to adhere to our Quality Control Program. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the institution you choose, please click here.
Rate collection and criteria: Click here for more information on rate collection and criteria.