How to create a USD Coin (USDC) Wallet in 2024: A Step-by-Step Guide
Steps for creating a USD Coin (USDC) wallet:
Learning how to create a USD Coin wallet can be challenging. Many wallets offer different features, so selecting and setting up the best USD coin wallet can be daunting.
Throughout this article, we explain what USDC is, provide a step-by-step guide on creating a USDC wallet, and highlight some of the best wallet providers. Let’s get started.
Table of Contents
What is a USD Coin (USDC) wallet?
USD Coin (USDC) is a stablecoin created by Circle in 2018 and designed to mirror the US dollar price automatically.
The asset was initially created on the Ethereum network, but versions of USDC also exist on other networks, like Tron’s TRC-20 USDC.
The asset has a smart contract that will automatically mint or burn tokens as needed based on demand.
A USDC wallet is software that facilitates storing, receiving, and sending USDC. However, some of the best USDC wallets have other functions, like buying/selling USDC, staking, or storing multiple cryptocurrencies. There are many types of USDC wallets, including:
- Custodial: A custodial wallet is ideal for beginners as it holds the private keys on your behalf. Typically, exchange or platform wallets are custodial.
- Non-custodial: If you want more control over your assets, then a non-custodial wallet granting you access to its private keys is an excellent choice.
- Hot Wallets: Praised for convenience, a hot wallet is internet-connected.
- Hardware wallets: For people who value security above all else, hardware wallets require a physical device to confirm a transaction, mostly eliminating the issue of network attacks.
After setting up the software, users are provided with a USDC wallet address that they can use to receive the asset from other digital wallets.
A wallet also consists of a private key used to recover the wallet if it gets lost.
Most of the best USDC wallets also offer a portfolio management system, allowing users to keep track of their finances.
📚Read More: USD Coin (USDC) Wallet: All you need to know
How to create a USDC wallet?
While learning how to create USDC wallet isn’t time-consuming, the quantity of options complicates the process.
Users must choose which type of wallet they want, set it up, store the private keys, and still need to use another platform to sell or withdraw USDC to a bank account.
However, you can simplify the process using an all-in-one platform like swissmoney.
Step 1: Create and verify a swissmoney account
Before using swissmoney, you must create an account on the platform. The process is simple; you must input your name, email address, and password.
However, to access swissmoney’s features, you must complete the verification process by entering a phone number and providing a photo ID and selfie via mobile.
- One of the most significant advantages of swissmoney is its fast onboarding process. Most customers are onboarded automatically within minutes, making the platform convenient for new users.
- swissmoney is licensed by the Swiss Financial Market Supervisory Authority (FINMA) and the Bank of Lithuania. As such, swissmoney is a trustworthy platform for people to store, sell, or buy USD Coin.
- While you can create a swissmoney account and pause verification until it is ready, you must complete the KYC procedure to access the platform’s features due to regulatory requirements.
Step 2: Add USDC wallet to your swissmoney account
Once you’ve created and verified your account, you need to add the USDC wallet to your swissmoney account. By default, the platform only has EUR enabled.
However, on the ‘Digital assets’ page tap on ‘Add new’. You’ll find a list of the supported wallets. Select the USDC wallet and the wallet will be ready.
- swissmoney lets users store several cryptocurrencies and fiat currencies on the same platform, making it excellent for international customers and those seeking an all-in-one platform for managing crypt and fiat.
- You can create as many crypto or fiat wallets as you like on swissmoney. So you can access a dedicated wallet for every asset the platform supports.
- After you’ve added fiat or cryptocurrency wallets to the swissmoney platform, you can move them around by making various transactions.
Step 3: Deposit USDC
Now that you can access your swissmoney account and your USDC wallet has been created, you can begin using it.
You can click on the USDC tile to get your deposit address and send USDC to swissmoney from an external wallet.
Alternatively, you can buy USDC directly on swissmoney, which can be withdrawn or stored on the platform.
- You should review the minimum deposit for USDC before sending money to the platform. If you send less than 10 USDC, the transfer will be declined. Each asset has a different minimum deposit, so double-check to see if you plan on adding multiple cryptos to swissmoney.
- Whenever you deposit USDC or any other cryptocurrency, you must ensure the token’s network matches the destination wallet. For example, if you send TRC-20 USDC to an ERC-20 wallet, you likely lose your funds.
- When you conduct transactions involving USDC, you must have some of its base currency to cover network fees. ERC-20 USDC will require ETH, while TRC-20 USDC needs TRX.
swissmoney is an all-in-one financial services platform offering customers a free USDC wallet. Once you set up your swissmoney wallet, the platform lets you buy, sell, trade, send, and receive USDT, making it highly versatile.
Moreover, swissmoney enables you to manage fiat and crypto, meaning you’ll have the required tools to get the most from your money if you choose to sell.
What are the benefits of using a USDC wallet?
A USDC wallet is essential for anyone wishing to buy, send, or receive USDC. Without a wallet, you couldn’t store the asset as an investment or use it for its intended purposes.
However, outside of its core functionality, there are several benefits of using a USDC wallet:
- Security features: If you select an excellent USDC wallet, you can benefit from features like biometric log-ins and data encryption. These features can help to improve the security of your funds. Moreover, some wallets have features like wrong network detection, which prevent you from losing funds due to an incorrect transaction.
- Crypto volatility: Cryptocurrency is one of the world’s most volatile markets. Prices can fluctuate between 5% and 10% in a single day, making it risky to hold large amounts of wealth. However, if you have a USDC wallet, you can store the dollar-pegged stablecoin, limiting your direct crypto exposure.
- Staking: All USDC wallets support basic activities like sending or receiving crypto. But some wallets boast additional features to help you get more from your money. For example, it’s common for wallets to support USDC staking, which can offer consistent interest on your USDC holdings.
swissmoney offers a free and secure wallet to all its customers.
While the wallet is perfect for sending, receiving, and storing crypto, the platform also provides extra features like a crypto debit card and the ability to swap crypto for fiat and withdraw it to a bank account.
📚Related: How to Send USDC
As such, swissmoney is one of the most versatile and well-rounded USDC wallets on the market.
📚Related: How to Get Paid in USDC
Conclusion
Throughout our guide, we’ve taken an in-depth look at what USD Coin is, how it differs from other crypto coins, the benefits of using a USDC wallet, and explained how to create a USDC wallet while sharing a few popular picks for the title of the best USD Coin wallet.
Throughout our research, we’ve determined that everyone planning to own USDC will need a wallet. Thankfully, there are plenty of wallet options, including well-known platforms like MetaMask or Trust Wallet.
However, most USDC wallets lack features like converting crypto to fiat or receiving fiat payments, making them singularly useful for holding USDC.
On the other hand, all-in-one financial services provider swissmoney provides users with a wealth of tools tailored to crypto and fiat currencies.
You can send, receive, trade, sell, and buy USD Coin on swissmoney while managing your fiat holdings, setting up direct debits, sending international payments, and effortlessly swapping between crypto and fiat.
FAQs
How is USDC created?
Every time a person purchases USDC from Circle using USD, the company automatically issues an equivalent amount of USDC tokens, keeping the USD in reserve.
Using this method, Circle backs USDC 1:1, which helps prevent issues like a bank run. You can also redeem USDC for USD at the same rate, which causes the sold USDC to be burned.
What is TRC-20 USDC?
There are several versions of USDC built on various networks. For example, the original and most popular version of USD Coin is created on the Ethereum network and dubbed ERC-20 USDC.
TRC-20 USDC is a version of the stablecoin created on the Tron network. It benefits from lower fees and quicker transaction settlement time.
How do I get USDC?
If you want to acquire USDC, you have several options. The easiest way is to purchase USDC with fiat using a crypto exchange like swissmoney, Kraken or Coinbase.
Alternatively, you could ask a friend to send USDC to your wallet, swap another crypto for USDC, or buy the asset using a Peer-to-Peer (P2P) platform like Bisq.
How do I open a USDC wallet?
To open a USD Coin wallet, choose a wallet provider, download the software, note down your private keys, and complete the creation process.
Then, you access your wallet address, buy USDC, and use your digital wallet to store, send, or receive the asset. Alternatively, you could use an all-in-one platform like swissmoney, simplifying the creation of a wallet.
Which crypto wallet supports USDC?
USD Coin is a popular stablecoin created on the Ethereum network, making hundreds of USDC wallets available to customers. USDC can be stored in web wallets like MetaMask or hardware wallets like Ledger or Trezor for improved security.
There are many options for your USDC Coin wallet, so you should consider your requirements before selecting an option.
Which wallet is best to store USDC?
A multi-chain wallet is ideal for anyone wishing to store cryptocurrency like USDC. These wallets let you store USDC from different chains (ERC-20 and TRC-20 USDC, for example) on a single wallet, improving convenience.
Some popular wallets include MetaMask, Trust Wallet, and Exodus Wallet. It’s essential only to use a secure wallet with a strong track record.
What factors should I consider when choosing a USDC wallet provider?
When selecting a USDC wallet provider, it is critical to weigh your requirements.
For example, you should consider which version of USDC you want to store, whether you plan on holding USDC for the long or short term, and whether you need a multi-asset wallet capable of storing several cryptos.
Moreover, mobile USD Coin wallets are perfect for people without a desktop PC or laptop.
Is USDC safe?
With a market cap of over $30 billion, USDC is the world’s second-largest stablecoin after USDT. Released in September 2018 by Circle, it has been a favorite of crypto enthusiasts seeking a store of value.
The asset is pegged 1:1 to the US dollar and boasts over-collateralized, transparent, and regularly audited reserves, highlighting the project’s commitment to security.
How do I create a USDC wallet on MetaMask?
MetaMask supports many cryptocurrency networks, meaning the wallet can store several versions of USDC.
To store cryptocurrency on MetaMask, you must download the wallet’s browser extension or mobile app and then complete the wallet creation process by writing and confirming your private key.
Afterward, ensure you’re on the right network and can store USDC.
Further Reading
- TRC-20 vs. ERC-20 Tether
- USDT vs. USDC: Exploring The Key Differences
- How to Create a Tron (TRX) Wallet
- How to Choose the Right Crypto Wallet
- Different Types of Crypto Wallets
- How to Create a Crypto Wallet for Beginners
- Crypto Wallets That Allow Transfer to Bank Account
- Guide to Managing Multiple Crypto Wallets
