The Stablecoin Economy: A Brief History of the Top 10 Stablecoins
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Tether （USDT）
, Author: alyzesam Alyze Sam, translator: Huohuojiang, reprinted by Odaily with authorization.
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Tether is a controversial cryptocurrency. The company launched RealCoin in July 2014 and changed its name to Tether in November from Tether Ltd., the company responsible for maintaining its fiat reserves. It started trading on the exchange in February 2015.
The cryptocurrency is backed by an equivalent value in traditional fiat currencies such as dollars, euros or yen held in designated bank accounts. Tether was the first stablecoin to be listed on an exchange in 2015, and since then it has become one of the most traded assets on the market.
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Tether can quickly and efficiently transfer value between exchanges without resorting to volatile digital assets. Its convenience and the fact that it "can replace the dollar" has attracted the attention of many stock giants and daily traders.
Tether Limited and Tether are controversial because: the company failed to provide the promised audit report to prove that it has sufficient reserves, and it is suspected of manipulating the price of Bitcoin, its relationship with the Bitfinex exchange is unclear, and its apparent lack of long-term investment. banking relationship.
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The Wall Street Journal quoted author David Gerard as saying, "Tether is like a central bank for encrypted transactions...but its behavior is not in line with people's expectations of responsible and sensible financial institutions."
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USDT once claimed that every 1 Tether was backed by 1 dollar, but it was revised on March 14, 2019 to include joint-signature company loans.
In early 2017, USDT began to "print money" like traditional banks in the United States and other countries. They initially claimed that they would not increase the supply of their stablecoin, but later went the other way. It allegedly increased Tether production in mid-2017 in order to increase the price of Bitcoin.
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After receiving a flood of fraud allegations against Tether in 2018, its price dropped from $1 to 85 cents.
The New York Attorney General has accused the Bitfinex exchange of using Tether funds to cover up $850 million in funds it has gone missing since mid-2018. As Tether has greatly increased the number of tokens in circulation and undermined its stability, the market value once reached billions of dollars, but in fact Tether's initial market value was only tens of millions. Tether monopolized the stablecoin market and began to issue USDT, but did not retain an equivalent USD reserve.
Bitfinex was allegedly hacked in November 2017 and $31 million worth of Tether was stolen, triggering a hard fork.
In January 2018, it hit another roadblock when it failed to conduct the necessary audits. Bitfinex was summoned by regulators after announcing its parting ways with the audit firm. There are widespread concerns about whether the company, which has been accused of a lack of transparency, has enough foreign exchange reserves to back up Tether.
In April 2019, New York Attorney General Letitia James accused iFinex Inc., the parent company of the cryptocurrency trading platform Bitfinex, of concealing a total of $850 million in losses from investment clients and the company. Court documents show that the funds were handed over to a Panamanian entity called Crypto Capital Corp. to process withdrawal requests without any contract or agreement.
After the funds were lost, Bitfinex allegedly withdrew at least $700 million from Tether’s cash reserves to cover up the shortfall. But the companies said in a statement, “These court filings are full of maliciously crafted false lies. Instead, to our knowledge, the crypto funds were not lost but placed under seizure protection. We have been actively working to remedy the situation.” steps to release these funds as soon as possible. Regrettably, the New York Attorney General’s Office appears intent on undermining these efforts, to the detriment of our clients.”
According to the "Wall Street Journal" report, about 80% of BTC transactions are completed with the assistance of USDT, which ensures the liquidity of the encryption market.
Circulation: 4,642,367,414 USDT
TrueUSD （TUSD）
Historical price fluctuations: $0.84 — $1.21
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As of April 2020, TrueUSD has obtained 100% USD guarantee on legally protected third-party escrow accounts, and various partners of the bank will improve the efficiency and security of receiving and paying. The first independent audit conducted on March 1, 2018 proved that TrustToken has nearly $1.8 million in reserves.
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“True tokens can only become money when they are used by the market as a store of value and a means of exchange. TrustUSD is a stable asset that protects against inflation and market volatility and serves the world’s unbanked user layer.” Tether claims they are, "a currency built for the internet, and anything you could do with digital money can now be done with digital cash."
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The buyer passes KYC and AML audits, and sends USD to the trust company in accordance with the escrow agreement. After they've checked your funds, their API instructs our smart contract to send the equivalent of TrueUSD to your Ethereum public address.
To convert to USD, transfer KYC/AML verification, send a smart contract with TrueUSD tokens from an Ethereum registered address, and the escrow bank will send the funds to you. Assets on the account are fully legal and each TrueUSD token received is redeemable for $1 through escrow.
According to TrueUSD, “TrustUSD is a currency protocol that algorithmically increases and decreases supply to ensure price stability. Powered by centralized applications".
“Decentralized stable assets are critical to the future development of cryptocurrencies. Cryptocurrencies have the potential to change the financial landscape. However, price volatility remains a major obstacle to their mass adoption. Our answer to this is TrustUSD, a A fully decentralized independent currency protocol that will soon become a new global currency.
Cryptocurrencies that do not want to replace traditional fiat currencies have no future.
TrustUSD hopes to cooperate with mainstream commercial systems and be used as a viable transaction medium on a global scale. In fact, the protocol mechanism is very simple: when the token price exceeds the target price of $1, the protocol will increase the total supply until the price reaches an equilibrium state. When the token price drops below $1, the protocol will shrink the total supply until the price reaches $1 again. "
"The principle of this TrustUSD agreement is very simple, but it is very effective. Although many stable asset systems are complex, they are not very effective, because for a project of this scale, the simpler the economic principle is, the more valuable it is. At the same time, many cryptocurrency investors want to see stable assets that are truly free from corruption and market manipulation, and we provide a solution for that.”
Circulation: 142,451,763 TUSD
Maker DAI
Historical price fluctuations: $0.934 — $1.36
Stability: Each TUSD token is backed by 1 U.S. dollar (USD) in an escrow account.
MakerDAI allows users to take full advantage of cryptocurrency investments without worrying about market volatility. There are multiple strategies behind it working together to keep DAI stable. Its white paper notes how to deal with potential problems that the system may encounter, as well as specific measures to reduce risks.
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To understand DAI, one must first understand MakerDAO - an open source project on the Ethereum blockchain and a decentralized autonomous organization created in 2014. Maker is committed to minimizing the volatility of its stablecoin (DAI) against the U.S. dollar (MKR token holders manage the token). Through a scientific governance system including Executive Voting and Governance Polling, MKR holders can manage the financial risks of the Maker agreement and DAI to ensure its stability, transparency and efficiency. The MKR voting weight is proportional to the MKR amount that the voter occupies in the voting contract DSChief.
According to MakerDAI, "DAI has the potential to become" the world's first unbiased currency. DAI is a stable and decentralized unbiased currency. Any business or individual can experience the advantages of digital currency and achieve financial freedom without fluctuations. Instantly generate currency that is under your control and price-stable according to your needs. Start guarding your DAI now and earn the DAI storage rate set by the Maker community."
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“The Maker Protocol, built on top of the Ethereum blockchain, allows users to create currencies. Currently, the Maker Protocol consists of Dai stablecoins, Maker Collateral Vaults, Oracles, and Voting. MakerDAO Maker Protocol is managed through the voting rights of MKR holders to determine key parameters (such as stable fees, guarantee types, guarantee rates, etc.). As one of the largest decentralized applications on the Ethereum blockchain, Maker Protocol It is the first widely used decentralized financial application”
The MakerDAI protocol consists of the following foundations:
Maker Foundation
Multi-Collateral DAI
“The Maker Foundation, as part of the global Maker community, collaborated with some external partners to create and release the Maker Protocol. It is currently working with the MakerDAO community to guide the project’s decentralized governance and promote its Achieve complete decentralization."
DAI Foundation
“The DAI Foundation, headquartered in Denmark, is autonomous and independent of the Maker Foundation. The foundation aims to manage important intangible assets of the Maker community, such as trademarks and code copyrights, and operates strictly in accordance with objective regulations related to its authorization. The DAI Foundation Deed of Trust states that the foundation aims to protect those aspects of the Maker Protocol that cannot be decentralized through technology."
The collateral types that MKR voters can choose to evaluate can be found on blog.makerdao.com.
“The flexibility of the Maker Protocol is that virtually any type of tokenizable asset can be used as collateral, given the appropriate risk parameters. To ensure that the system can support multiple asset types, the Maker Foundation has built in a series of 'connected tool' to enable realistic collateral testing and auditing of MCDs.
The first collateral types tested were selected by the Maker Foundation based on diversity, average daily transaction volume in the millions of dollars, and the relative stability of each token.
The MKR team hopes to use DAI to overcome the violent price fluctuations that often occur in cryptocurrencies. In the white paper, the team cites examples of “Bitcoin falling 25% in one day, or rising 300% in a month.” The Maker DAO team believes that blockchain technology needs stable digital assets to realize its full potential. So they introduced DAI backed by collateral.
Although the price of the DAI stablecoin is also equivalent to $1, DAI is backed by Ethereum-based smart contracts. DAI is stabilized by external market factors such as CDPs, autonomous response mechanisms, and external economic incentives. DAI is more decentralized because only users can create and destroy tokens. The DAI token only appears after the deposit is paid and disappears after the debt is repaid.
Because all its operations are carried out in accordance with smart contracts, DAI issued on the MakerDAO platform is more transparent and fair. In terms of its market capitalization, DAI currently ranks 60th, which is very suitable for transactions in gambling, financial markets, international trade and transparent auditing. At the same time, Maker also allows users to choose the type of ecosystem mortgage.
Circulation: 116,680,177 DAI
USD Coin （USDC）
Historical price fluctuation $0.72 — $1.37
Stability: To generate DAI tokens, users need to purchase and mortgage equivalent Ethereum ETH tokens (in USD). If the price of DAI rises, users will be incentivized to continue generating tokens. If the price falls, users will dump their DAI back into the pool.
Once launched in September 2016, the United States Dollar Coin (USDC) quickly became one of the most influential tokens anchored to fiat currency. A year later, the total supply of USDC reached 421,469,737, making it the second largest fiat-pegged asset after Tether (USDT). The issuance of USDC is controlled and reflects the inflow of funds in reality. Despite the occasional token burn, USDC is growing overall because it acts like a fiat exit for crypto exchanges, which many stablecoins use as their ultimate goal.
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CENTER Consortium said: "USDC has become the second most popular stablecoin in the world, it has the full support of more than 100 companies in the global encryption ecosystem, and it is the first to achieve the largest circulation in less than a year." $1 billion stablecoin.”
USDC is a stable cryptocurrency launched by Coinbase Exchange and Circle, positioned as a stable currency with financial and operational transparency. Cryptocurrency can be exchanged for legal currency in the Circle USDC application that issues cryptocurrency, and the application provides all services such as exchange and transfer.
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Circle has launched its own USD stablecoin - USD Coin (USDC). Circle, a $3 billion fintech startup, has made a series of deals and bets that the crypto economy will continue to grow despite the cryptocurrency market’s bear market.
"As more and more goods and services are tokenized, the smart contract platform will become the cornerstone of value exchange. CENTER's open source code and transparent stablecoin architecture can realize the interaction between fiat currency and smart contracts, giving developers Provides a viable way to use real money in blockchain applications."
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Circle co-founders Jeremy Allaire and Sean Neville said, “Coinbase and Circle hope to build an open global financial system based on encryption and blockchain infrastructure. systems, and realizing this vision will require the collaboration of industry leaders to establish interoperable protocols and standards."
At the time of publication, critics had questioned the openness of the financial system, as personal information must be provided to use USDC. Additionally, USDC is a centralized token with KYC and AML audits. Unlike Bitcoin, users do not have full control over their funds. USDC is not a decentralized cryptocurrency, it acts as a blacklistable or frozen digital entry on Circle's balance sheet.
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USDC states on its website, “USD Coin (USDC) is a cryptocurrency that can be called a stable currency. Its price is stable and always maintains a 1:1 exchange with the US dollar. Eligible customers can hold on Coinbase. Some USD Coins are rewarded.
CENTER stated that USDC aims to "build an open world financial system. As part of this mission, we hope that everyone can enjoy the stability of the world's legal currency (the U.S. dollar). Any country (all it takes is a cell phone) can hold assets backed by dollars.”
CENTER is proud of its transparency, "issued by regulated and licensed financial institutions that hold equivalent fiat currency reserves. Issuers are required to regularly report their US dollar reserve holdings, and Grant Thornton LLP publishes relevant reserve reports every month."
Both Coinbase and Circle strongly agree on the need for programmable money, "Programmable money opens up a new world of applications and businesses: developers can use code to create accounts that store money; loans are faster, cheaper, and more transparent; payments ( including salaries) faster and cheaper, enabling global fundraising and transparent and stable charitable giving.”
Through the joint efforts of Circle and Coinbase, the supply of USDC has increased rapidly. From the initial supply of only about 24 million tokens, it reached a peak supply of over 450 million tokens later. USDC is now part of the stablecoin market, participating in 169 pair trades that drive transactions on Binance.
USDC also links multiple exchanges in the East and West and is accepted by most major market operators. USDC was one of the first stablecoins to screen customers and use KYC to avoid facilitating terrorist financing.
While USDC has the advantage of offering services to merchants through the Coinbase payment system, it only has a daily turnover of about $200 million, which is still small compared to other stablecoins.
USDC can be issued by banks. Therefore, CENTER sets its sights on the global market and plans to attract more international banks and cooperate with companies such as Goldman Sachs, Bitmain and Blockchain Capital.
In March 2020, USDC became the first stablecoin to issue $1 billion in less than a year.
Circulation: 436,495,713 USDC
Paxos Standard Token （PAX）
Historical price fluctuations: $0.97 — $1.11
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Paxos claims to be "the new digital dollar. Paxos Standard (PAX) combines the stability of the dollar with the efficiency of blockchain technology." PAX is a stablecoin developed by the Paxos Trust Company. Launched on September 10, 2018, the price of PAX is pegged to the US dollar at a ratio of 1:1, and has been approved by New York regulators.
PAX, a blockchain-based stable digital asset anchored 1:1 to Ethereum tokens, has now been approved by the New York State Department of Financial Services (NYDFS), which oversees asset issuance and trading.
Paxos Trust aims to combine the speed and security of digital assets with the protection of the old-fashioned financial system. PAX aims to provide stability and user confidence to the cryptocurrency market.
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Paxos itself is a trust company positioned as a “trustee and competent custodian of client funds,” claiming that its token will provide more reliable protection for clients than its competitors.
According to Paxos co-founder and CEO Charles Cascarilla, PAX combines the stability of traditional fiat currency, strong regulation, and encryption technology that promises frictionless digital value flow, thereby improving the utility of money.
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Paxos is an ERC-20 token that can be received and sent by Ethereum wallet users. Transactions follow the rules of the Ethereum network and share all of its features (including smart contracts that eliminate human error).
USD deposits in the Paxos Trust are held as collateral against U.S. government treasuries or FDIC-guaranteed U.S. banks and are considered the property of token users. In addition, when PAX is in circulation, the corresponding US dollars will be reserved as reserves. Upon conversion to USD, PAX will be destroyed immediately. Tokens can only be circulated if there is a corresponding US dollar as a reserve.
As a safe and reliable trading tool, PAX also has the following excellent attributes: no transaction fees, transactions based on Ethereum, certified by Withum, and fully supported by US dollars. Has the following advantages: suitable for traders who need to trade during the period of cryptocurrency volatility; has advantages over fiat currencies in cryptocurrency transactions; faster, cheaper, and more practical when purchases need to be completed quickly; can work in traditional banks Trade outside of hours.
PAX can be traded with other assets available on the site. You can use PAX to buy or sell Bitcoin, Ethereum, Binance Coin, EOS, XRP, and Stellar Lumens. As an ERC-20 token, it also guarantees transparency. PAX is now among the top 100 cryptocurrencies. Perhaps because it passed two audits successfully, Nomic Labs experts found nothing wrong during their inspection.
Circulation: 198,449,056 PAX
Bitshares （BitUSD）
Stability: 1:1 collateralized by US dollars (USD), controlled and supervised by NYDFS.
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On June 2, 2013, Dan Larimer discovered a way to create a fiat-to-bitcoin exchange without fiat collateral: introduce a token backed by another token on the same blockchain. currency. Since then, he and Charles Hoskinson have submitted a business plan to Chinese bitcoin entrepreneur Li Xiaolai and received investment for company development. The BitShares X project received a lot of attention once the project announcement was published on the CoinDesk and BitcoinTalk forums in August 2013.
On July 4, 2013, Hoskinson and Laremer launched Invictus Innovations. In October of the same year, they presented the concept of BitShares at the Atlanta Bitcoin Conference. The token was launched in 2014 and started in March 2016. The project became part of Microsoft Azure Blockchain as a service pack. Hoskinson has since left the team as founder of the Bitcoin Education Project and Cardano.
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Consensus is the mechanism by which parties make decisions about acting in concert. Consensus technology is the basis for democratic governance and the coordination of free market activity. The process of forming a consensus decision allows all participants to choose a course of action by consensus. Bitcoin is the first system to combine a fully decentralized consensus method with a peer-to-peer network, thereby more efficiently facilitating the transfer of value through the medium of electronic communication. Maintaining the proof-of-work structure of the Bitcoin network can effectively organize network participants: participants do not need to trust each other to still maximize their benefits. The BitShares ecosystem finds an effective solution for distributed consensus decision-making by adopting Delegated Proof of Stake (DPoS).
Distributed Autonomous Companies (DACs) are governed by predefined rules and can operate without human involvement. These rules are represented as publicly auditable open source software distributed to stakeholders. One can become a stakeholder by purchasing "shares" in a company, and these "shares" may bring investors the opportunity to share in their "profits".
The BitShares community is a global network of individuals with a common goal: to participate in various distributed autonomous companies. The community primarily revolves around the BitShares team and third-party tools using Graphen, the toolkit that implements BitShares, to create their own distributed autonomous corporations. BitShares community discussions take place openly at BitSharestalk.org.
The value of BitUSD is backed by futures, fiat currencies, gold, silver, and other assets. It has the following advantages: due to the predictability and minimal volatility of asset prices, it is a relatively reliable investment tool; it can counteract sudden price fluctuations and market fluctuations; The unit of account for assets.
BitShares claims to be "SmartCoins" and states that "smart coins adopt the concept of contract for difference (contract for difference) and can enable multiple parties to achieve substitutability. We assume that the multiple parties to the contract are BitUSD, and the collateral is BTS (BitShares core assets). To implement smart currency, the following market rules must be followed:
Anyone holding BitUSD can exit their position at the settlement price within 24 hours. Short positions with minimal collateral will be used to close positions. Short positions will never expire unless the cap on maintaining the collateral is reached, or the position is forced to close out with minimum collateral in the event of a liquidation. If the minimum collateral short position does not have enough collateral to cover the position within the price range, then all BitUSD positions will be automatically liquidated at the minimum collateral price.
According to BitShares, “Smartcoins are powerful tools for speculators, savers, traders and entrepreneurs alike. The BitShares platform provides a platform for innovators to experiment and use the free market to discover the best monetary solutions.” Toolset.
Circulation: 2,163,170 BITUSD
EOSIO（EOSDT）
Stability: Collateralized by the US dollar (USD) 1: 1, backed by legal tender, silver, gold and other assets.
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Equilibrium EOSDT is a stablecoin designed for a future of cryptocurrency diversification. Built on the Equilibrium framework, which is the EOS blockchain on the Ethereum architecture, which makes it a more stable and practical cryptocurrency.
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EOSDT is the world's first decentralized stablecoin on the EOS blockchain, anchored to the US dollar, and backed by the user's own encrypted assets.
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Currently, EOSDT works on EOS and is working to build the foundation for asset-backed stablecoins on multiple blockchains that support smart contracts.
“We chose to start with the EOS blockchain and EOSIO technology because it is faster than Ethereum, has near-zero transaction fees, and has a robust enough infrastructure to provide a high-quality experience to a large number of users simultaneously. EOS is our Preferred because it offers broad architectural prospects for the implementation of cross-chain solutions, while also providing multiple forms of collateral support for the EOSDT stablecoin”
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The EOSDT token is an asset of the Equilibrium smart contract platform, which can be used to create asset-backed tokens or the world's first decentralized stablecoin on the EOS blockchain. Each EOSDT is pegged to the US dollar. Users can generate EOSDT and choose the underlying asset.
The protocol flow is as follows: users use EOSIO technology to generate EOSDT tokens on the Equilibrium platform. All users holding digital assets compatible with the Equilibrium architecture can leverage a self-service gateway with an intuitive user interface to generate EOSDT stablecoins. Choose a staking option and implement it in the smart contract. The position holds deposited collateral, and it is then up to the user to decide how much EOSDT to generate. These newly minted stablecoins are backed by collateral held in positions that can be recovered by paying an equivalent amount of EOSDT and accrued fees. EOSDT tokens can be used in any way (for storage, encrypted transactions, payments, etc.). Recovered collateral can be withdrawn by position holders. The structure seeks to maintain a minimum viable rate of collateral and loans at all times.
EOSDAQ, Newdex and DEXEOS have listed EOSDT as a stable currency, and its promotion is also in progress.
Circulation: 4,600,116 EOSDT
Gemini （GUSD）
Historical price fluctuations: $0.91 — $1.32
Stability: Crypto-collateralized, or with selected assets as collateral.
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Gemini Dollar (GUSD) is the result of a partnership between Gemini Trust Company and New York Trust Company.
Founded in 2014, Gemini Trust Company (LLC or Gemini) is a digital currency exchange and custodian that allows clients to buy, sell and store digital assets. The company is based in New York and is regulated by NYDFS.
Gemini was reportedly the first exchange to launch bitcoin futures contracts in December 2017. According to Fortune, the Chicago Board Options Exchange (CBOE) uses Gemini as the “daily settlement basis for bitcoin futures.” Bloomberg News reported that Gemini began offering “Block Trading” in April 2018. Block trades allow users to trade large amounts of digital assets outside of Gemini's continuous order books. This will create an additional liquidity mechanism when trading large amounts. In April 2018, according to Reuters, Gemini will use Nasdaq's SMARTS technology to monitor transactions, thereby cracking down on exchange fraud and reducing the possibility of price manipulation.
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On May 14, 2018, NYDFS announced the approval of Gemini to support Zcash (ZEC) transactions on its platform. NYDFS said the decision "continues New York's longstanding commitment to market innovation and leadership." The news also quotes Gemini CEO Tyler Winklevoss as saying “Gemini is proud to be the first exchange in the world to be approved to offer Zcash trading and custody services.”
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Gemini claims to be "the world's first regulated stablecoin designed to achieve high-scale high-availability for all types of transactions. GUSD will bring the value of the US dollar into the modern digital age". Gemini was founded to facilitate bitcoin purchases and storage through a complex system of private keys and password-protected environments. GUSD is seen as a direct competitor to Tether (although the company has been accused of operating opaquely). Cameron Winklevoss (Cameron Winklevoss) claims that so far, all existing dollar-pegged tokens cannot be called stablecoins.
Gemini stated that they have gained trust with tokens, “Building viable stablecoins is as much a problem of computer science as it is a matter of trust. While the Bitcoin system is based on cryptographic proofs rather than trust, stablecoins anchored to fiat currencies rely on central The issuer, so both are required. To achieve the desired outcome in a system that relies (at least in part) on trust, supervision is required. We believe that in the case of stablecoins, issuers must be licensed and subject to regulation. Therefore, the system Must be transparent and subject to scrutiny to ensure its integrity and enhance market confidence.Gemini Trust Company, as the issuer of GUSD, operates under the direct supervision and management of NYDFS and is subject to the New York State Banking Law and other applicable U.S. Constrained by laws and regulations.The company has the necessary licenses and registrations required to legally issue GUSD.
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The Gemini white paper states, “GUSD is an encrypted token issued by a trust company in New York. It is strictly pegged to the U.S. dollar at a 1:1 exchange rate and built on the Ethereum network according to the ERC20 token standard. Gemini dollar is a combination of It guarantees the credibility of the US dollar, price stability, and the technical advantages of cryptocurrencies and a currency with stable value supervised by US regulators. As an ERC20-compliant token, GUSD can be traded on Ethereum. Tokens are created when withdrawing from the Gemini platform , redeemed or destroyed when deposited into the Gemini platform".
GUSD has the following obvious advantages: it is directly supervised by NYDFS and fully obeys relevant laws and regulations of the United States. The U.S. dollars backing it are held in a special account at U.S. holding company State Street Corporation, which was developed by 150 programmers. The account is insured by the Federal Deposit Insurance Corporation (FDIC), and the number of dollars in the account strictly matches the number of tokens in circulation, and is overseen by independent audit firm BPM Accounting and Consulting.
Circulation: 3,968,720 GUSD
Binance GBP (BGBP)
Historical price fluctuations: $0.95 — $1.19
Stability: 1:1 collateralized by US dollars (USD), supervised by NYDFS.
The emergence of the BGBP stablecoin marks the beginning of Binance’s realization of its cryptocurrency trading ambition, which is to establish a series of stablecoins anchored to different fiat currencies on the Binance blockchain.
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The Binance Jersey exchange first announced in early June 2019 that it was testing a stablecoin backed by the British pound. Changpeng Zhao, Binance’s CEO at the time, confirmed that only £200 worth of stablecoins had been issued. During the launch of the GBPB, there were only two other projects offering sterling-pegged stablecoins: TrueGBP and the eToro GBP Stablecoin Project.
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Binance stated that they hope to continue to provide more choices in the crypto space by providing European users with a better trading experience. Zhou Wei, CFO of Binance, said: "The market and the Binance community have increasingly strong demand for stablecoins, including stablecoins anchored to the British pound, and the listing of BGBP is a response to this. Stablecoins increased use cases and utility; BNB has tripled since the beginning of the year and continues to grow rapidly as Binance Chain advances.”
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Binance Jersey stated that they provide users from all over the world with safe and secure trading of euro (EUR) and British pound (GBP) with bitcoin (BTC) and ether (ETH), as well as digital asset management services.
Binance is a blockchain ecosystem composed of multiple technologies, serving the great mission of blockchain development and financial freedom.
Binance Exchange is the world's leading cryptocurrency exchange by trading volume, with users from over 180 countries. As one of the fastest cryptocurrency trading platforms in the world, Binance can process more than 1.4 million orders per second. The platform focuses on security, robustness and execution speed.
The Binance ecosystem also includes:
Binance Labs: venture capital arm and incubator;
Binance DEX: a decentralized trading platform developed on the basis of Binance Chain, its native community-driven blockchain software system;
Binance Launchpad: token sale platform;
Binance Academy: its educational portal;
Binance Research: market analysis;
Binance Charity Foundation: a blockchain-powered donation platform that provides non-profit sustainability aid;
rust Wallet: Its official multi-coin wallet and DApps browser.
Circulation: Unknown
StableUSD （USDS）
Historical price fluctuations: $1.19 — $1.25 (~1 £)
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Stably created Stably Dollar (USDS) and Stably Prime, stating that “Stably Dollar is the seventh largest dollar-backed stablecoin in the world and is present on major crypto exchanges such as Binance and Bittrex”. Stably Prime bills itself as a borderless account that offers a wide range of financial services and products and can be customized to meet the specific needs of an individual or institution.
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Stably Inc. founders Kory Hoang, Bryan Guy, David Zhang, and Amiya Diwan created the reserve-backed stablecoin, the Stably Dollar. The token aims to serve as a price-stable asset that fills the void left by other stablecoins.
Stably said, “Our mission is to make financial transactions faster, cheaper and more transparent through a Borderless Neobanking platform powered by blockchain, stablecoins and open financial APIs.
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Stably Dollar (USDS) is backed by U.S. dollars held by Prime Trust, a U.S.-regulated trust company. In a blog post, the company wrote that USDS uses a proven centralized model that is fully backed up for all issued tokens. The issuance process allows Bitcoin (BTC), Ether (ETH) or Tether (USDT).
The traded cryptocurrencies will be exchanged for dollars on the free market through the intermediary of a third-party manager. An equivalent amount of USDS will then be released and sent to customers via a smart contract, ForkLog reports.
Stably.io stated, “USDS is a stablecoin pegged 1:1 to the U.S. dollar, and U.S. dollar reserves are deposited in an FDIC insured trust account managed by Prime Trust. Prime Trust, as a Nevada state chartered trust company, is the official trustee of the token Institutions. USDS is currently the seventh largest U.S.-backed stablecoin in the world, and it is featured on major crypto exchanges such as Binance, Binance DEX, and Bittrex. USDS currently follows the Ethereum ERC-20 token standard and Binance Chain's BEP-2 standard, we will expand USDS to more blockchain protocols including EOS and Stellar in the future.
Stably predicts, "In the near future, Stably and other regulated partners will release more stablecoins backed by other national currencies and heavy metals (such as gold, silver). We will also expand to have better performance (such as other blockchains for speed, scalability, and security.”
Market cap: $1,440,845
