Stablecoins, for all the drama that surrounds them, have continued to thrive in the crypto market. Despite being called manipulation tools, they continue to appeal to investors due to their affiliation with fiat currency and their reputation of being more secure than traditional cryptos.
One of the latest stabecoins to enter the market is one being pushed by TrustToken. The new token is called TrueGBP token and is pegged 1:1 with the British pound. The token is currently available at over-the-counter platforms such as Alameda Research, Bluefire Capital, Galois Capital and QCP Capital, with plans of introducing it to crypto exchanges in due time.
Details About TrueGBP
Some information was given by the management of TrustToken about TrueGBP, such as the fact that the token will backed up by British pounds which will be held in escrow. They will allow be compatible with ERC-20 wallets.
“Purchase and trade of TrueGBP will be available like any other ERC-20 token, and is compatible with all ERC-20 wallets. Customers who want to purchase or redeem through the TrustToken app will need to pass the regular KYC [Know Your Customer]/AML [Anti Money Laundering] requirements in accordance with our MSB [Money Service Business] license,” said Rafael Cosman, the TrustToken’s co-founder and head of engineering and product.
Here to Stay
There is little argument at this point that stablecoins are a solid part of the crypto ecosystem. The first stablecoins such as Tether were dollar-backed but now, stablecoins are being set up and backed by many other currencies.
TrustToken themselves had first launched a USD-backed stablecoin and this is their second offering. In their statement, they made it clear that they would be releasing more stablecoins backed up by currencies such as the yen and euro in the future.
In the minds of some, crypto and fiat are competing for dominance in the world. Stablecoins are a little bit of both and firms that deal in them, such as TrustToken, feel that the existence of one doesn’t spell the removal of another and that instead, they can co-exist.
“With TrueUSD, we have built the bridge between the fiat and crypto world, without being tied to any one exchange. Our goal in launching TrueGBP is to fully utilize this bridge to reduce the friction within global financial markets, to seamlessly increase the speed and decrease the cost of transferring value across global borders,” the statement said.