What is TUSD stablecoin?
One of the preferred stablecoin options in 2022 is TrueUSD, or also known as TUSD.
What is the TUSD crypto stablecoin? TUSD is an ERC-20 stablecoin that is fully backed up by the US dollar. At this time, it is one of the most trusted and securely regulated stablecoins using USD. It was created by the firm TrustToken Platform in order to combat the rise of fraud in the crypto space. It is backed up by TrustToken’s real provable fiat assets.
Large amounts of fraud have caused massive concerns about crypto adoption, especially among governments. This means that big-name exchanges and other companies in the crypto industry want to lower the risk for their clients. This is why stablecoins were created.
What is a stablecoin?
In simplest terms, a stablecoin is a cryptocurrency of which the price is designed to be based on a reference asset. In the case of TrueUSD (TUSD), the reference asset is the US dollar. Volatility is mitigated by maintaining proven collateral. In the case of some stablecoins, an algorithm is used to keep the value steady and adjust supply based on a set of rules.
What can I do with TUSD crypto?
In the simplest terms, a stablecoin like TrueUSD (TUSD) can be seen as the “crypto version” of a real dollar.
However, the ease of moving and verifying cryptocurrency is often the trade-off for volatile prices and a lack of security. This is where stablecoins come in by mitigating the risk to investors and institutions by holding collateral. Here is where TrueUSD (TUSD) really shines. TUSD crypto is one of the most heavily regulated stablecoins out there
If you’re still reading, you are probably wondering: Is TUSD safe?
The simple fact is this: TrustToken, the creators of TUSD crypto, are monumentally proud about their adherence to regulation as well as the fact that TUSD is backed by real assets.
The TrustToken platform has partnered with accounting giant Armanino to create TrustExplorer. According to Armanino’s Noah Buxton, Armanino is the first accounting firm to “formalize and complete a Proof of Reserves for a digital asset exchange.” Simply put, this is a way for those who hold digital assets on an exchange to verify that said exchange really has those assets!
You can delve further into TrustToken regulatory compliance for yourself and get to know more about their partnerships on the TrustToken website.
What makes TUSD crypto stand out from other stablecoins?
TrustToken Platform gets revenue in the form of interests in holding USD in their accounts. TUSD does not charge a fee for holders or for trading. This means there are zero or near-zero transaction fees associated with using TUSD.
Bottom Line about the TUSD crypto stablecoin
Is TrueUSD (TUSD) here to stay? Is TUSD safe? TrueUSD is one of the USD stablecoins you must watch as a crypto investor. It is available on the Ethereum blockchain, which means that it is part of a growing ecosystem that is widely adopted in the crypto space. Also, adherence to regulation is key, and the TrustToken platform takes compliance and attestation very seriously.
Author: Moni Talks
Moni Talks is a cryptocurrency trading exchange and social platform that is dedicated to the crypto community.