Circle Developer Workshop I Corey Cooper

[Music] Hello everyone. Okay, cool. Yeah. Thanks everyone for coming to this workshop. Uh is it a little can can everyone hear me?

Okay. Okay. All right. All right. Okay.

Perfect. Perfect. Um I'm Corey Cooper. Um I lead the Devril team at Circle and today I'll be giving you all an overview of our developer platform and how we have built tools and smart contract um utility to make the transaction experience with USC uh very seamless for you all as developers in the room who want to build use cases that leverage u stablecoin technology. So I I'll start off with our mission.

It's pretty simple, but it's really bold. And uh it's to raise global economic prosperity through the frictionless exchange of value. And how we do this is by building open infrastructure to accelerate value transfer around the globe starting with USDC. USDC is the world's largest regulated stable coin. So I would like to um say that again.

And USDC is the largest regulated stable coin. And regulation has allowed us to to grow our um stable coin infrastructure exponentially. Um it's the reason why 600 million plus users have access to USDC uh to do transaction experiences. Um but this couldn't have been done without people like you in this room which are developers. um that that is attributed to the accessibility of USDC uh from a utility perspective to end users.

So we really appreciate you all taking the time to come to this hackathon and uh and build with with our tools and other tools as well to design new transaction experiences on stable coin infrastructure. Just last month, we we hit a record high of of of being uh able to be a part of settling $2 trillion $2.4 trillion dollars worth of uh payment volume on chain. So, um that again couldn't have been done without developers. We build the infrastructure.

We make sure it's regulated and safe. Uh and and you all as developers bring that creative insight to design experiences and it's working. uh because we see a lot of money moving on chain uh for transactions. And the last number here is uh this 93% year-over-year growth of uh USDC liquidity coming into the ecosystem uh that developers have the ability to design experiences around uh puts us, you know, at the top of the list of outpacing our competitors who are global stable coin issuers. So we really appreciate uh the the support of the infrastructure.

Here's a uh an overview of um our um developer platform and everything we offer, but I kind of want to ascend into the developer services area uh on the far right. And so um you know for the tools that we're offering uh here at E Global um we offer wallet infrastructure. So it's very easy for developers to access an API and SDK to embed wallets in their app. Um we also offer a smart contract platform so developers have the ability to deploy new primitives on chain and uh and interact with those primitives through our uh dev tooling. So it makes it easy to operate manage your smart contracts uh design web hook notifications around them and uh and and and build um smart contract logic and integrate it into your applications in a very easy way.

Um our paymaster uh is another product. Um obviously we understand there are like some friction points in transacting uh as you're onboarding endusers. And so we've deployed u pay masters on various different blockchains to make it easy for developers to build experiences for their endusers to actually pay for gas fees from their USDC balance. um giving endusers a a experience that is comparable to uh tradi u as it as it pertains to fees uh and transacting and last but not least our crosschain transfer protocol which we um call CCTP and so this enables in this multi-chain world for developers to build crosschain transaction experiences um and and it uses a a different methodology than than most bridges and that is burn and mint. So you have the ability to call a smart contract set and actually pass parameters that will burn USDC out of the source chain and then it will mint USDC on the destination chain and to the destination address that you uh pass in your parameters.

So these are these are the tools that we're offering uh uh for developers to build with at the hackathon and we we encourage you all to to uh play around with them because they're very powerful tools to build experiences with stable coins. I'll start um with a deep dive into our wallet so you understand the type of wallets we offer. Um so we offer um three different types of wallets. We call the first one dev control and that mainly is the developer controls the keys to that wallet and basically can embed these wallets in an app and end user can interface with those wallets but they don't actually control the um the um signing experience. Um and so um in the dev control wallet pillar there's two different type of wallet accounts that you can create EOAS smart contract accounts uh and it's it's very good for um you know embedding wallets in fintech applications and delivering a very seamless experience to someone who's uh really doesn't you know know much about crypto u they're just trying to you know leverage um the rails to be able to move money really quickly and so you can uh you know easily spin up these dev control wallets append them to user accounts for your end users and uh they will never know that they're actually using a a wallet on chain and you can uh design experiences with USDC um in these applications our user control wallets offer more sovereignty over the asset so that the actual enduser controls the keys to that wallet uh these are NPC power wireless by the way u by the way and so um those are for you know scenarios where um developers are being building experiences they want to make sure they're not um listed as the custodian of funds and things like that.

So it gives them more um protection around like designing a wallet experience where they're not actually in the crosshairs of being looked at as a custodian because they control the keys to the assets in the wallet. Um and so the last one on the far right is our mod modular wallets. And so these are um really good wallets um that you can embed in applications and enable an experience where they can authenticate and sign transactions with those wallets using pass key and store that pass key in the secure enclave of their device. So, um, that's another wallet type for if you want to make sure like you're designing experience where you're not listed as a custodian of funds on the platform. The user control and module wallets are really good wallet types for for those use cases.

Under the hood of all our wallets, um we have like gas station to enable like sponsoring of of of network fees uh where you can um you know spin up a pay master really quickly and it can handle the sponsor of gas fees for those wallets across multiple different blockchain networks. Also supports Salana and nonvm chains as well. So fee payers can be spun up and so it makes gas abstraction very easy for a developer. they don't have to worry about managing that at all. Um then we we offer a really good dashboard to manage and monitor um your actual wallet activity.

Uh you also can manage the logs um you know be able to troubleshoot logs as well as design um very good uh notification experiences by um spinning up web hook notifications to design experiences where you're tracking the transaction state you want to deliver and render that experience to the end user. Uh but last but not least our compliance engine. So um enabling uh experiences where you can do checks on the recipient wallet or external wallets that are are being transacted with uh to do a compliance check to make sure those wallets aren't on sanction list. Um and so it can protect your end users from transacting with um wallets that have been compromised. And so we do that through um partnerships that we have with different companies that are doing onchain forensic analysis work uh to source and have a list of of wallets that we know that are are compromised and protect uh the end users.

And so you can you can tap into that functionality via our APIs. And like I mentioned before, like the gas station, you know, performs gas abstraction through enabling developers to uh spin up a pay master or fee payer uh within the the platform and design basically policies around um you know how much gas they want to sponsor per transaction per day. um you know for gas abstraction experiences for the end user. CCTP v2 is um is our newest version of CCTP. So um what it um enables for developers is in V2 we have what we call a fast transfer mode.

And so in V1 uh there was only one mode for you to send USC across chain. Um and it was beholden to our blockchain confirmation thresholds which took about you know um you know if you were going from like Ethereum to base you know it would take about 18 minutes um for us to kind of get to a place where that transaction was um considered uh confirmed and complete and and then you would get an addestation um uh of a signature that you could take and sign a message on the destination side to mint USDC to the wallet address. And so because that 18 minute, you know, um time duration is kind of long, uh it limited the type of experiences developers could build. And so um in V2, we decided to speed that up. And we brought that 18 minutes down to around 30 seconds.

Um and how we do that is we have basically an insurance fund and enable the minting on the destination side. Um developers have access to liquidity that they can kind of mint um before the finality um happens. they can tap into basically a pool of liquidity that uh we give access to and we have basically a a um a threshold that you can use over um a duration of time week over week and you are able to actually mint USDC on the destination side really quickly when you're going through CCTP um and design different experiences that are more like you know payouts or payments or funding Um, and so since it's less than, you know, a minute, you can you can do different types of payment experiences with with our CCTP protocol for for crosschain transactions. Um, V2 is is something that we also have packaged hooks into. So, um, if you want to add like post transfer logic inside uh these transactions, you can design these type of experiences.

So you can imagine if you wanted to go from USDC on Salana to USDC on base but then swap into um a token u of your choice. You can enter that information into um our hooks parameter value and it can design that that automated logic on the destination side. Once USDC hits it performs a swap. Uh so you can do um really cool stuff with hooking together u a lot of uh uh transaction logic into um our V2 protocol with hooks. And so how CCTP works uh at its core is uh you call basically a deposit for burn on the um token messenger transa uh contract on the source chain.

it initiates that burn and then um you call our API iris at astation service. So it's a public API endpoint. Uh it observes whether or not that burn activity has happened and once it has then it enables you to get access to a signature that you can take to the destination chain and sign that um to mint USDC on the destination side. So it's a three-step process. And so some of the use cases, you know, we've seen uh we've seen a uh some interesting stuff.

Um you know, there is exchanges that use CCTP for treasury rebalancing. Um, and so, uh, they do that because they're trying to kind of manage the liquidity across multiple different chains and, um, they have algorithms that kind of can kind of forecast like how much liquidity they may need to have on any given chain at any given moment based on the demand of users wanting to get USDC paid out from their uh, wallet on the exchange. So um the CCTP is like more cap capital efficient as well for crosschain swapping uh because you know when you're moving this liquidity across chain you're moving in a stable asset which is USDC. So USC is like that conduit. So makes it uh more more efficient for those crosschain experiences.

And then um like since we speeded it up with V2, like you can do crosschain purchases. So someone could get to a site, they may have their USDC on, you know, uh Lana, but they want to make a payment uh on a platform that is using um you know that may be settling their transactions on base. And so those crosschain purchasing experiences can be done with V2 because of the speed and um also to like crosschain trading, you know, um you may want to to take a position in in a trade and you're doing it across chain. Um CCTB V2 enables those type of experiences to be designed. Um and a lot of it, you know, is is is really at its bare bones.

It's like you're using a stable coin to to be the conduit of moving liquidity across chain. So, um that's the beauty of um of the efficiency that uh a stable coin like USDC provides. And so our pay master uh like I mentioned before uh it's a onchain utility permissionless and and so um people can design experiences now where endusers can pay for gas fees from their USDC balance. And so, um, you can think of someone who's building maybe like a peer-to-peer payment app that runs only on stable coins and they want to design experience that abstracts away a lot of the friction points of blockchain uh, transaction experiences for newbie endusers. And so um with with Circle Pay master developers can design these experiences uh where gas fees are paid by the end user from their USDC balance.

One of the beauties of our pay master is obviously it's ran by circle operated by us. So, we have deep liquidity to handle, you know, um that that transaction swapping mechanism of being able to have enough native tokens on each chain where we have our PayMaster on to handle, you know, the gas fees that need to be paid um as you're swapping between USDC to the native token and the pay master to cover gas fees. So um that that that gives you know a developer kind of some insurance that you know like if I'm doing millions of transactions a day I know this paymaster can handle you know this transaction volume that's coming through and routed through these user ops that are routed through this paymaster because there's deep liquidity managed by Circle to make sure uh this paymaster is operating at its highest efficiency. And so this is kind of a a illustration of of how it works where the user initiates a USDC transaction and um what happens from there is um the the paymaster you know checks to see if the end user has enough um you know funds in their their um wallet to be able to cover the transaction and if it does then money is routed to a bundler and our paymaster works for third party bundlers uh to handle the batching of of the structure under the transaction and then passed through the pay master. Uh and that paymaster covers the blockchain fees and then the USDC gets routed to the recipient wallet.

So um it makes for a really nice transaction experience for uh designing uh enduser payment experiences that are focused on USDC. Gateway is um a new product and I know we didn't have it on the um platform slide that I talked about earlier. Um it's it's new and we're going to go live with it next week. Right now it's on test net. And so what Gateway enables is across the ecosystem, you know, we saw that a lot of people, you know, were frustrated with fragmented USDC balances.

Um, and so, um, you know, a lot of you probably have your USC on multiple different chains and you want to create an experience where you could spend that um, you know, um, and on other chains, but what you end up having to do sometimes is like, you know, move money from all these different chains to get to the chain you want to get to. And that's a terrible transaction experience. Takes a lot of time. You lose a lot of money on gas and things like that. And so what gateway is a it's a um onchain, you know, utility that enables you to aggregate all of your balances across multiple different chains into a univide balance.

And so how you do that is if you had USDC say on base avalanche and arbitum uh you could deposit those um the USDC balances into a um wallet contract on the respective chains and then what it would do is it would unify that balance and give you access to instantly spend USDC on the chain of your choice. So you can like unify all those balances, spend it immediately on a destination chain. U and though that that that spending experience or minting and then spending happens within like 500 milliseconds. So very powerful technology to create really cool experiences. I'll hurry up here because I think I only got five minutes.

But this is kind of the flow of how this experience works. Now, USDC is deposited, like I said, into what we call a gateway wallet contract across the different chains. And then after that, you have an API that you can call and you get basically you you get access to a unified balance that enables you to um to spend immediately on a uh the destination chain of your choice where our mentor contracts for gateway or uh live. And so we see a lot of wallet providers um you know integrating gateway um you know because you know people have these wallets and they have USDC across all these different chains and so a wallet provider can basically um you know help facilitate this experience where that enduser's balance is always unified uh through like a back-end job of depositing into the the gateway uh wallet contracts. tax and that person just is, you know, they're spending from a balance, but they don't care, you know, where their USDC lives at the current moment because they have access to this unified balance to spend USC anywhere.

Yeah.

Are you depositing from each chain?

Yeah. Yeah. So, each chain has its own gateway wallet contract and so you would just deposit in each chain. What did you say?

Well, you you you as the end user, you wouldn't do the switching like you would you you could just, you know, have like a um run like a script and it could, you know, um run through an array and it would just kind of go through each chain and deposit to the respective contracts on each chain. And then for your your enduser experience, they wouldn't see that or whatever. They wouldn't be switching connections or anything like that. Uh that would happen in the background and then they would see a unified balance where they could just spend their USDC anywhere.

Yeah.

Yeah.

Sorry, one more question.

Yeah.

What is a deposit contract? Is that something that smart contract can inherit and lose inside or is that contract you guys deploy.

It's a contract that Circle deployed. Yeah. Yeah. Circle that replay. I'm going have to rush through this because I know I only have maybe like one minute, but we recently launched ARC.

Uh well, announced, not launched yet, but recently announced ARC. Uh it's an open L1 blockchain. It's EVM compatible. Uh this is um the blockchain that we're, you know, launching specifically for stable coin finance. Um, we've learned over the years a lot about uh, payments and how to bring payments on chain at the enterprise level.

And so, ARC is is going to be the home for stable coin finance and businesses that actually want to uh, bring their payments on chain, but they want to bring it on chain in a way where this blockchain is compliant, has the security features and functionality needed to support enterprise payments at scale. And so some of the primitives of this blockchain that make it unique um is USC is going to be the native gas token. So uh developers transacting on ARC will have predictable gas fees uh that are cheap and you know exactly what your gas fees are because you don't have to deal with the native volatile token uh for gas. Also u we'll build in an FX engine. So um you know we see the future of local stable coins being deployed on ARC and so FX will be able to happen on chain um and it'll create more of a a better experience for crossber payments and then um instant finality um so um for these transactions one of the main reasons why we decided to do a L1 is because for payments to be on chain at scale we need to be able to give deterministic finality and so um leveraging the power of the Malikite consensus engine will give us the ability to to do this and have um sub 350 millisecond transactions um settle finally and then opt-in privacy is another functionality a lot of businesses want to um make sure their transactions are private so they'll have the ability to basically opt into uh a privacy layer of transactions to um you know make sure like wallet addresses and and amounts are private if they want those transactions private.

So, uh very excited about this um and really appreciate uh the time. And so um last but not least here is kind of a list of some of our developer rel re resources if you all want to check out some of the resources we have available and happy to talk on the side about any of the things that we have going on here at circle u that can benefit you all as developers. So thanks [Music]