In an announcement made on the 12th of December, 2018, TrueUSD partnered with Nexo, a loan platform backed by cryptocurrency, making its official lending partner. The announcement which was posted on Nexo’s twitter account read:
“TrueUSD selects Nexo as its official lending partner. As a result of our strategic partnership with @TrustToken, TrueUSD has become the latest collateral option (with a 95% loan-to-value ratio) and repayment method for our instant crypto loans.”
With this partnership in place, Nexo’s users can now use TrueUSD as collateral when requesting loans, or even pay back the loans with the same coin. TUSD, which is essentially a stablecoin, can now be borrowed against, offering a 95 percent Loan-to-Value (LTV) ratio.
Customers can also pay for existing loans on the same platform using the TrueUSD token. Recently, Nexo was in the news for its plans to provide a 6.5 percent interest rate on all loans taken on the platform, on the condition that the investor keeps stable coins on the platform.
Currently though, repayment with the NEXO token will attract an 8 percent interest instead of the standard 16 percent. Tokens listed on the platform include Gemini Dollar (GUSD), USDCoin (USDC) TrueUSD, Maker’s Dai (DAI) and Paxos Standard Token (PAX).
Nexo’s market capitalization is currently at around $36 million.