L-USDC & L-USDT Overview

Lucid Bridged Stablecoins provide unified and composable stablecoin liquidity tailored for rollups through a modular token standard compatible with frameworks like Circle’s bridged USDC and Tether's bridged USDT. Designed to minimize fragmentation and reduce deployment overhead, L-USDC and L-USDT allow projects to integrate stablecoin liquidity across multiple bridge providers under a single standard.

This ensures seamless future upgradeability to native USDC (at Circle's discretion), and trustless composability with major DeFi protocols. Lucid runs these tokens through Lucid's multibridge architecture, and deploys Hyperlane and Polymer bridges directly on behalf of rollups, eliminating the need for the rollups to manage complex infrastructure. Our exclusive integration with Polymer delivers sub 5 second and sub $0.05 stablecoin transactions across any integrated ecosystem.

Arbitrum has been selected as the base chain for locking liquidity for both L-USDC and L-USDT. This decision is driven by strong demand within the Orbit Rollup ecosystem and Arbitrum’s reputation for providing low-cost, secure infrastructure.

Once USDC and USDT are locked on Arbitrum and their Lucid equivalents (L-USDC and L-USDT) are minted, these assets become fully portable across all Lucid-compatible chains and rollups. Transfers can occur directly between supported networks—without requiring routing through Arbitrum or Ethereum—enabling fast, efficient movement of stablecoin liquidity across the Lucid ecosystem.

Both L-USDT and L-USDC are part of Lucid’s broader mission to simplify multi-chain liquidity and interoperability for developers . By providing these bridged stablecoins with high performance and compatibility, Lucid enables new rollups and dApps to rapidly get on par with established chains in terms of stablecoin usage, which is critical for DeFi, gaming economies, and many other use cases. Developers can refer to Lucid’s documentation and the references below for technical details on how the bridging contracts work and how to integrate support for L-USDT in their applications.

Incentivising Stablecoin Inflow via Discounted Governance Tokens

L-USDC and L-USDT are deeply integrated into Lucid’s VEO system, allowing protocols to bond stablecoins into long-term liquidity strategies across chains. This not only accelerates liquidity access on new rollups, but also ensures alignment with emissions, governance, and capital efficiency mechanisms from day one.

As part of the VEO program, a chain or protocol can offer its native governance token at a discount to incentivise users to bridge stablecoins onto their network. Users lock and mint supported stablecoins (e.g., L-USDC, L-USDT), then exchange them through Lucid for vested governance tokens via the VEO interface. This mechanism helps the foundation or protocol accumulate a stockpile of stablecoins natively on their chain, which can later be allocated or deployed at their discretion—for liquidity provisioning, incentives, or treasury purposes.

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L-USDC

Lucid’s L-USDC is:

• L-USDC is initially locked on a base chain, such as Arbitrum, which provides secure and low-cost infrastructure

• Compatible with Circle’s Bridged USDC Standard

• Upgradeable to native USDC if Circle deploys to the rollup

• Deployed via Hyperlane and Polymer, using a bridged token contract compatible with Circle specs.

• If additional bridges become compatible with the rollup ecosystem, they can be incorporated into the stablecoin infrastructure and seamlessly managed through Lucid.

• Supported by Lucid’s Multi-Bridge Module

• Integrated with Lucid’s VEO markets

Lucid handles the deployment of Hyperlane and Polymer infrastructure on behalf of rollups.

• Fully managed deployment (no infra required by rollups)

• Sub 5s finality and sub $0.05 cost per transaction via Polymer

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L-USDT

Lucid’s L-USDT enables:

• Locking USDT on a base chain (Arbitrum).

• Minting L-USDT on the destination rollup

• Fast and cheap transfers via Lucid’s Multi-Bridge adapters and Polymer

• L-USDT offers a reliable wrapped stablecoin experience with lower fees and higher performance for emerging rollups.

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Why Does This Matter?

For Rollups:

• Instant access to USDC/USDT liquidity

• No dependency on Circle or Tether deploying natively

• Assets can upgrade to native if/when supported (only for USDC and at Circle's discretion)
• Sub 5s finality and sub $0.05 cost per transaction

• Lucid handles the deployment of Hyperlane and Polymer on rollups

For Users & Protocols:

• Use L-USDC and L-USDT in VEOs and liquidity programs

• Compatible with bonding incentives and fee-sharing models

• Reliable, low-friction bridging for payments and rewards

• Diversifying the treasury or allocating funds into DeFi strategies.

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How It Works

Step	Action
1	Lock native USDC/USDT on base chain (Arbitrum)
2	Lucid mints L-USDC/L-USDT on the destination chain (Rollup)
3	Tokens become usable in VEOs, apps, and liquidity programs
4	These assets can be transferred to any Lucid compatible ecosystem
5	If the user wants to redeem native USDC or USDT, they need to transfer the assets to Arbitrum where they will automatically unwrap.

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Deployment Process

Lucid manages all technical deployment:

• Hyperlane and Polymer are self-deployed by Lucid

• Rollups only need to opt-in (reach out to Anthony Broderick on Telegram) ; no engineering lift

This plug-and-play design accelerates rollup growth by removing stablecoin integration complexities.

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Use Cases

• Bonding in VEO Markets

• Liquidity Bootstrapping

• Cross-chain Payments

• Protocol-owned Liquidity Campaigns

• Treasury Diversification

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Further Information

L-USDC

L-USDT

Lucid is currently onboarding partner rollups for L-USDC and L-USDT deployment. Want to integrate stablecoin liquidity on your chain?

👉 Contact us