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CDS CDS Wiki Understanding TrueUSD (TUSD) and its future prospects

CDS Wiki

Understanding TrueUSD (TUSD) and its future prospects

Understanding TrueUSD (TUSD). It is designed to cater to the needs of crypto traders and exchanges, mainstream commerce, economies, and financial institutions

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Understanding TrueUSD (TUSD). It is designed to cater to the needs of crypto traders and exchanges, mainstream commerce, economies, and financial institutions.

TrueUSD is a USD-backed ERC20 stablecoin that is fully collateralized, legally protected, and transparently verified by third-party attestations.

Table of Contents

Understanding TrueUSD (TUSD) and its future prospects

The TrueUSD team, comprising alumni from Stanford, UC Berkeley, Palantir, and Google, has developed a legal framework for collateralized cryptocurrencies in collaboration with WilmerHale and White & Case.

TrueUSD uses multiple escrow accounts to reduce counterparty risk and provide token-holders with legal protections against misappropriation. It is the first asset token built on the TrustToken platform.

The TrustToken Platform

TrustToken is a platform designed to create asset-backed tokens that can be easily bought and sold globally. It allows for the tokenization of real-world assets, such as gold or dollars. TrueUSD is the first asset token built on this platform, designed to meet the needs of crypto exchanges, crypto traders, and financial companies.

TrueUSD can be used by anyone once it is listed on exchanges. It is designed to cater to the needs of crypto traders and exchanges, mainstream commerce, developing economies, and financial institutions.

The TrueUSD team partners with licensed trust companies and banks to securely hold the funds backing TrueUSD tokens. The team does not have access to these funds, ensuring increased security for users.

TrueUSD Price Stability and Exchange Listings

TrueUSD maintains price stability through the opportunity for arbitrageurs. Traders can always trade TrueUSD for the equivalent USD on TrueUSD.com, creating an incentive to buy or sell mis-priced TrueUSD on exchanges. TrueUSD is currently listed on Binance, Bittrex, Upbit, and over 20 other exchanges.

TrueUSD and Future Plans

TrueUSD tokens are not classified as securities but are more akin to deposit & safekeeping receipts. The team plans to offer other currencies in the future, such as TrueEuro, TrueYen, and stable baskets of tokenized goods. They are not trying to compete with algorithmic stablecoins like Basecoin or MakerDAO, but rather complement them.

TrueUSD vs Tether

TrueUSD offers legal protection, is redeemable for USD, provides trustworthy fund management, and ensures full collateral. It is always fully collateralized by USD, held in a professional trust company’s escrow account. The escrow account holdings are published regularly and subject to ongoing professional attestations.