Is USDC legal?

Could you please clarify the legality of USDC? I've heard conflicting information and am wondering if it's a secure and compliant option for digital transactions. Given the volatile nature of cryptocurrencies, it's important for me to understand the regulatory framework surrounding USDC. Is it backed by any government or central authority? How does it comply with financial regulations? And what are the potential risks involved in using it? I'd appreciate a detailed explanation of its legal status and any relevant considerations.