Circle Launches Paymaster to Simplify USDC Fee Payments
- Paymaster streamlines fees using USDC
- Arbitrum and Base receive new service
- Circle advances in the cryptocurrency sector
Circle recently introduced Paymaster, a feature that allows users to pay transaction fees on Arbitrum and Base using USDC. This launch reduces the reliance on native tokens, offering greater convenience to users looking to interact across different blockchains without having to hold multiple cryptocurrencies in their wallets.
Introducing Circle Paymaster, enabling users to pay gas fees with USDC on @arbitrum and @base .
No more juggling tokens across blockchains—simply use USDC for payments, transfers, and gas fees.
Learn more: https://t.co/QHArlEhAJC pic.twitter.com/o3mKWLvyJR
— Circle (@circle) January 23, 2025
“Circle has set up its own ‘home’ on Promenade,” an official statement said, signaling the company’s expanding services. According to the announcement: “Circle has introduced Paymaster, which allows users to pay transaction fees on Arbitrum and Base with USDC. Paymaster charges a 10% fee on gas costs, currently waived through June 30.”
“The product allows users to interact with decentralized applications using only USDC, eliminating the need for native tokens.” This proposal aims to attract both beginners in the cryptocurrency universe and investors who already have experience in different ecosystems, but prefer to concentrate their resources in a single stable asset.
Paymaster works simply: it accepts USDC payments on the front-end layer and then converts that value to the network’s native token before completing the payment to validators. By setting a 10% gas fee on top of the costs, Circle is seeking to make the tool viable for maintenance, although this fee is being suspended until June 30 to encourage more people to try it out.
Another goal of the company is to expand support for Ethereum, Polygon POS, and Solana, offering greater flexibility to users who want to pay fees in USDC across multiple networks. The service is currently available for accounts controlled by smart contracts, but there are plans to include externally owned accounts after the Ethereum Pectra upgrade.
Interested developers can integrate Paymaster into their projects, ensuring a more intuitive transaction flow for the public. This initiative reinforces Circle’s vision of consolidating USDC as a practical option for payments, transfers and fees across multiple ecosystems, making operations more fluid and convenient for different user profiles.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
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