Bridged $USDC via Wanchain
Bridged $USDT via Wanchain

👉 Overview:

USDT and USDC function similarly to Cardano native fiat-backed stablecoins but come with an additional layer of risk due to smart contract or bridge vulnerabilities. It is possible for hackers to exploit the contracts that hold USDC or USDT on the blockchain where these stablecoins are issued. If this happens, the value backing the stablecoin on Cardano could be removed, making the stablecoin worthless.
While the likelihood of these hacks is relatively low, they have occurred multiple times in the past, resulting in some of the largest losses in cryptocurrency history.

👉 Passive Income Opportunities:

Their inherent stability makes fiat-backed stablecoins highly sought after in lending protocols, resulting in relatively high yields for those who choose to lend them.
A great example of this is the consistently high supply APY offered by protocols like @liqwidfinance