1 Level
7 Review
0 Karma
Review on TrueUSD by m ali
TrueCoin, found online at TrueCoin.com, aims to create a USD-backed stablecoin…
TrueCoin, found online at TrueCoin.com, aims to create a USD-backed stablecoin called the TrueUSD. That digital token works in a similar way to Tether and its USDT: it promises to offer stable value backed 100% by real USD stored in a bank vault. Tether, of course, has faced criticism in recent months due to its lack of transparency. The company has been accused of not letting auditors verify its cash reserves. All USDT are supposed to be backed by $1 USD in a real, liquid reserve. However, it’s not clear if that’s totally the case. TrueCoin wants to create a USD-backed cryptocurrency with better transparency. It’s a USD-backed stablecoin you can exchange and trust. With that in mind, let’s take a closer look at how TrueCoin works. TrueCoin is 100% collateralized by USD in legally protected custodial accounts. Those accounts are held with multiple bank partners, letting you trade, send, and receive payments with better peace of mind. TrueCoin also has a unique legal framework that allows users to exchange USD directly with a custodial account – so TrueCoin never touches the funds. Plus, publicly-audited smart contracts ensure a 1:1 parity between TrueCoin and USD in the accounts. The end result is a simple stablecoin without the need to trust some company’s hidden bank account or special algorithm. Custodial accounts were used because they’re one of the most common legal contracts for asset management. Custodial accounts also enable daily auditing and complete legal protection for token holders. The company will initially only launch the TrueUSD. However, in the future, they plan to launch the TrueMuni, TrueYen, and other currencies.
Pros
- Good optimal stable coin
Cons
- Doesnt bring anything new to the table
