> For the complete documentation index, see [llms.txt](https://justlend.gitbook.io/untitled/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://justlend.gitbook.io/untitled/governance/justlend-dao-proposals/add-usdc-as-a-collateralizable-asset.md).

# Add USDC as a collateralizable asset

## Add USDC as a collateralizable asset

### Details

1. Add a new USDC price oracle for USDC/TRX;
2. Add support for jUSDC on JustLend smart contracts;[View](https://tronscan.org/#/contract/TNSBA6KvSvMoTqQcEgpVK7VhHT3z7wifxy)
3. Set the collateral factor of USDC at 75%;[View](https://tronscan.org/#/contract/TNSBA6KvSvMoTqQcEgpVK7VhHT3z7wifxy)
4. Set the reserve factor of USDC at 5%;[View](https://tronscan.org/#/contract/TNSBA6KvSvMoTqQcEgpVK7VhHT3z7wifxy)
5. The interest rate will surge when the utilization ratio exceeds 80%.

The proposal is to enable supply/borrow of USDC (TRC20) on JustLend and have the oracle to provide trusted USDC/TRX prices.

#### Market Parameters: <a href="#h.km4kcslj0e1" id="h.km4kcslj0e1"></a>

USDC is a fully collateralized US Dollar stablecoin developed by CENTRE, the open source project with Circle being the first of several forthcoming issuers.

Due to the large amount of circulation, the collateral factor is set at 75%, while its reserve factor is set at 5% to encourage more supply and borrow of the asset.

The USDC market adopts the similar interest model as USDT does,where the interest rate rockets to a higher tier when the utilization rate exceeds 80%. Its Supply Base APY hits25.46% when the utilization rate reaches 100%. Supply and borrow APYs at different utilization rates are as follows:

| Utilization rate | Borrow Base APY | Supply Base APY |
| ---------------- | --------------- | --------------- |
| 0%               | 0.00%           | 0.00%           |
| 10%              | 0.63%           | 0.06%           |
| 20%              | 1.25%           | 0.24%           |
| 30%              | 1.88%           | 0.53%           |
| 40%              | 2.50%           | 0.95%           |
| 50%              | 3.13%           | 1.48%           |
| 60%              | 3.75%           | 2.14%           |
| 70%              | 4.38%           | 2.91%           |
| 80%              | 5.00%           | 3.80%           |
| 90%              | 15.90%          | 13.59%          |
| 100%             | 26.80%          | 25.46%          |

### Contract

The smart contract of jUSDC is upgradeable. Once a new feature is added, the administrative access of the contract will be transferred over to the smart contract used by JustLend for voting & governance. In other words, the administrative access of jUSDC won't belong to any individual or organization. Rather, it will be transferred over to the “hybrid smart contract” for voting & governance.

The smart contract of jUSDC has been reviewed by the JustLend team and community developers.

The oracle price system has already started to feed USDC/TRX prices, but no changes have been made to the oracle's smart contracts.

We believe that adding support for the USDC market facilitates the growth of JustLend and further improves its ecosystem.