Are you interested in cryptocurrency and stablecoins? Read my review about TrueUSD, the first regulated stablecoin fully backed by the US Dollar.
What is TrueUSD
TrueUSD is the largest stablecoin, its number of stabecoins is growing very steadily and it is the reason why it has hit the market. The TUSD is an ERC-20 token created on the Ethereum blockchain, which is where it derives its security and safety from.
What is digital currency or stablecoins?
Stablecoins are cryptocurrencies that were designed specifically to prevent big changes in their value, by tying themselves to another asset, like the U.S dollar or gold. This makes them much more stable and predictable than, for example, Bitcoin or altcoins.
Some stablecoins like Tether or TrueUSD or Libra are “fiat-backed,” which means that for every unit of cryptocurrency issued on these blockchains, some amount of any currency (dollar, euro, pound, yen, etc.) is being stored somewhere. Being fiat-backed means that they are highly-centralized, and you really need to trust the company controlling these tokens.
TrustToken and TrueUSD
TrueUSD was issued by the Trust Token, a platform for asset tokenization. It plans on bringing the benefits of the blockchain to traditional assets, beginning with the U.S. dollar and other global fiat currencies.
TrustToken even has plans to tokenizate other assets such as gemstones, precious metals, real estate and others. By using blockchain technology even art could be tokenized in the future on a global scale.
The TUSD hit the market because its transparency and it is listed on many of the major cryptocurrency exchanges. It is currently the thirty-seventh largest cryptocurrency. The TUSD represents tokenized U.S. dollars at a rate of 1:1.
The TrueUSD works through the use of Ethereum smart contracts on the Ethereum blockchain. Through these smart contracts, it is able to issue and redeem a tokenized version of the U.S. dollar.
Security and regulations
It is fully transparent and the first regulated stablecoin fully backed by the U.S. dollar. TrustToken is fully licensed to operate in the U.S.
The smart contracts used by TrustToken have been independently audited three times, by three different security firms, and no issues were found or reported by any of them.
TrustToken charges no fees for transactions. The company generates its revenues through the collection of interest on the U.S. dollars being held in the company accounts.
Not only are all the funds backing TUSD held in escrow, but they are also held by third-party trust companies so that TrustToken has no direct access to the user funds being held in reserve.
Holders of TUSD are legally protected by the laws of the United States and the accounts where funds are held are FDIC insured accounts.
TrustToken is audited monthly by and attestations are posted regularly. This ensures that TUSD remains fully collateralized with escrowed funds that match its issued supply.
TrueUSD due to its stability perfectly allows traders to enter the cryptocurrency markets without risk of volatility. It also allows the same investors and traders to exit the markets and avoid rising volatility.
Other products of TrustToken platfrom
TrustToken also has announced the launch of several other tokenized fiat currencies. These include a tokenized version of the the British Pound (TGBP), Australian dollar (TAUD), the Canadian dollar (TCAD), the Hong Kong dollar (THKD) and the Singapore dollar (TSGD) are expected to come next year.
Thus, TrueUSD has been gaining popularity as a transparent and useful stablecoin and is certainly a contender for becoming the top stablecoin. What do you think about stablecoins? Share it in the comments below! If you have your question, please write it below, I would be glad to answer it or to introduce your project to my team at Astorts Group to be evaluated.
Alessandro Rocco Pietrocola is an entrepreneur and investor based in London and operating mainly in Europe, Asia and Oceania with main focus on UK, Baltic Countries, Russia, China, Hong Kong, Malaysia, Singapore, Middle East and New Zealand as area of interest! At the moment is the CEO of Astorts Group. He is an UK FCA (Financial Conduct Authority) Approved Person and is has great experience as director of regulated companies. He uses to dedicate part of his life to inspire others and help them achieve the most out of their life. Since he was 20, he had successfully founded and managed several companies operating in the field of management consulting, wealth management and fintech. He loves travelling, he is a cigars lover, an amateur golfer and a dapper man.