Coinbase & Squads Protocol Supercharge USDC Adoption on Solana—Here’s Why It Matters

Solana's DeFi ecosystem just got a turbo boost. Coinbase and Squads Protocol are teaming up to push USDC liquidity into overdrive—while Wall Street still struggles to explain stablecoins to shareholders.

Why Solana? Speed, cost, and a developer frenzy. The chain's sub-second finality and near-zero fees make it a no-brainer for stablecoin settlements. Meanwhile, Ethereum L2s are still wrestling with fragmented liquidity.

The Squads angle: Multi-sig meets DeFi. Their protocol turns institutional-grade custody into a composable building block. Think corporate treasuries dipping toes into on-chain finance without handing keys to an intern.

The cynical take? This is less about 'banking the unbanked' and more about capturing the $120B+ stablecoin market before BlackRock figures out how to tokenize a money market fund. Game on.

Strengthening Stablecoin Utility

Since 2021, Squads has developed programmable self-custody infrastructure to secure on-chain programs, tokens, and validator keys. Its flagship, Squads Multisig, now secures over $10 billion in assets and has moved $5 billion in stablecoins. 

More than 400 teams use it for treasury management. Coinbase Chief Business Officer Shan Aggarwal said, “Our partnership with Squads reinforces the role of USDC as the leading stablecoin in DeFi.”

Besides, Squads integrates USDC into Altitude, a USD business account for savings and transfers, and Fuse, a personal finance app with a Visa card. In addition, Grid provides APIs to embed stablecoin accounts in fintech platforms. The purpose of these integrations is to make USDC transactions easy.

Rising Adoption Backed by Regulation

Over the past 18 months, stablecoins have grown quickly, helped by a friendly environment and new rules from the GENIUS Act. With USDC, digital banking is getting smarter, offering features like accounts that can make automatic payments and follow custom spending rules.

Besides this, Thumzup Media Corporation expanded its relationship with Coinbase. Through Coinbase Prime, it will access institutional-grade trading, financing, and NYDFS-qualified custody for its crypto accumulation strategy. Meanwhile, Coinbase Global (COIN) traded at $325.03, up $2.41 or 0.75%, according to Yahoo Finance data.

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