TrustToken, the company which earlier this month launched TrueUSD (TUSD), an independently verified asset-backed stable coin with value fixed to the US Dollar announced that TUSD is now directly tradeable with Tether (USDT) on Bittrex. This will aid in faster and cheaper transactions out of Tether and into TrueUSD. With many in the community warning of the potential risk from non-transparent Tether, TrustToken is one of the few challenges which have risen this year.
The TrustToken legal framework enables token holders to exchange TrueUSD into USD with an escrow account. TrustToken never touches user funds. Instead, traders get access to a USD escrow account from the company network of fiduciary and banking partners to purchase or redeem TrueUSD. The goal is to eliminate counterparty risk that is common in other collateralized stable coin projects.
Every TrueUSD is always fully collateralized by USD, held in a professional fiduciary partner’s escrow account. TrustToken’s publicly verified 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 held as collateral.
The TrustToken team said:
“We continue to be thankful to the entire team at Bittrex for partnering with TrustToken to give traders a variety of credible cryptocurrencies. The pairing of TrueUSD to Tether makes it both affordable and fast for traders to move funds into TUSD, the world’s only stable cryptocurrency that is fully collateralized and redeemable for US Dollars. Now, instead of moving funds from USDT (Tether) to BTC (Bitcoin) or ETH (Ethereum) and then TUSD (TrueUSD), USDT can be quickly and efficiently changed directly to TUSD.”
Money Service Business Registration
Also announced today, TrustToken confirmed submitting its registration as a Money Service Business (MSB). As a registered MSB, the company will be in stronger position to prevent fraud and money laundering and to protect TrueUSD token holders with a strong Anti-Money Laundering (AML) compliance program. The compliance program will monitor the TrueUSD system for suspicious activity.