OKEx Cryptocurrency Exchange Launches Its Own New USDK Stablecoin via OKLink
Yet another stablecoin has entered the crypto scene. Earlier today, Malta-based crypto exchange OKEx launched its new USDK stablecoin.
The stablecoin, available for trading from June 3 onward, will be pegged to the US Dollar. The coin officially launched through OKLink, the global settlement subsidiary of OKEx, which has partnered with United States-based crypto custodian service Prime Trust to back the coin.
This isn’t the first time Prime Trust has backed a stablecoin project. Prime Trust is also one of the trust companies in charge of the escrow accounts holding collateral for TrueUSD, one of the world’s largest and most heavily-traded stablecoins. Prime Trust also enables fiat trading for Singapore-based crypto exchange giant Huobi.
OKLink confirmed the launch of the USDK stablecoin on Twitter on June 2 by publishing copies of its partnership agreement with Prime Trust:
Leap Holdings Group Limited (https://t.co/jHEQd9NuJL) officially announced today its subsidiary company OKLink Fintech Limited (OKLink) has signed an agreement with Prime Trust, LLC (Prime Trust) to launch the USDK business. pic.twitter.com/CZqjq8PDzA
— OKLink (@OKLink) June 2, 2019
It’s no secret the two companies had been working together: Star Xu, founder of OKEx and OKCoin, originally announced the partnership between the two companies back in March, including plans to lauch a stablecoin called the “OKUSD” operating on the OKChain.
Obviously, that original name, OKUSD, has since changed and the stablecoin is officially called the USDK stablecoin. The OKChain blockchain, meanwhile, is preparing to launch a testnet version next month.
USDK Could Become One of the World’s Largest Stablecoins
After growing concerns over Tether and its USDT stablecoin fiat reserves, a number of exchanges have launched their own USD-pegged stablecoins.
OKEx is the world’s second largest crypto exchange by daily trading volume, processing around $1.8 billion of trades over the past 24 hours. The exchange’s new USDK stablecoin has the potential to become one of the world’s largest and most heavily traded stablecoins – similar to what the USD Coin, TrueUSD, Paxos Standard Token, and Gemini Dollar have become for their respective exchanges.
OKEx isn’t stopping there. The exchange is reportedly creating its own decentralized exchange (DEX) and its own blockchain called OKChain. That blockchain is reportedly in the final stages of development, with a testnet expected to launch later this month.
OKEx’s decentralized exchange could compete with Binance’s decentralized exchange, which is also preparing to launch in the near future.
Stay tuned to see where the USDK stablecoin slots in among the world’s top stablecoins by market cap. It’s now available for trading from June 3 onward.