What are stablecoins?
A stablecoin is a cryptocurrency with a fixed price. While most cryptocurrency prices are determined by the marketplace, price is discovered by supply and demand, stablecoins are a fixed price equal to the US dollar.
What is TrueUSD?
TrueUSD is a USD-backed ERC20 stablecoin that is fully collateralized, legally protected, and transparently verified by third-party attestations. TrueUSD uses multiple escrow accounts to reduce counter-party risk, and to provide token-holders with legal protections against misappropriation. TrueUSD is the first asset token built on the TrustToken platform.
Why are stablecoins important?
A digital currency that is widely accessible and price stable would offer a much needed alternative for people seeking stability in a volatile market.
For price stability of our first stable coin offering we like that each TrueUSD token is backed 1-for-1 for US dollars. Every TrueUSD stablecoin is also redeemable 1-for-1 for US dollars. This allows individuals and institutions to trade cryptocurrencies within and across exchanges while mitigating the price volatility of the cryptocurrency market.