1 Level
5 Review
0 Karma
Review on TrueUSD by Linh Do
TUSD’s can cater to use cases such as: Crypto Traders and Exchanges: As a…
TUSD’s can cater to use cases such as:
Crypto Traders and Exchanges: As a hedge against volatility
Mainstream Commerce: For the benefit of digital currencies
Developing Economies: Venezuela like countries
Financial institutions: To facilitate institutional crypto
investments
Pros
- Legal Protection With Escrow Accounts: Escrow accounts are one of the most widely used legal vehicles for managing other people’s money, and it enables regular attestations and strong legal protection for token holders. Full Collateral: Every TrueUSD is always fully collateralized by USD, held in a professional trust company’s escrow account. TrueUSD’s publicly audited smart contracts mint TrueUSD when USD clears the escrow accounts and burns TrueUSD when USD is redeemed to ensure a 1:1 parity between the TrueUSD in circulation and the USD in the escrow accounts. Regular Attestations: The escrow account holdings are published regularly and subject to ongoing professional attestations. Here is a recent example of attestation by Cohen & Company
Cons
- The current fee: To purchase and redeem TrueUSD for USD: the larger of 10 basis points or $75. 10 basis points on transactions of TrueUSD between Ethereum wallets.
