What is a C Chord when Capo is placed on Fret 2?

When a capo is placed on the second fret, the open C chord shape you play will sound as a D chord. This is because the capo raises the pitch of all the strings by two half steps. Therefore, the notes in the C chord shape (C, E, and G) will now be played as D, F#, and A. This allows you to achieve a higher key while using the familiar C chord shape.