Steemit Crypto Academy Week 7 Task:lecture by @yohan2on | Stable coins 2

Hello fellow Steemit Crypto Academy student,
This Week 7 Task: (Stablecoin 2) lecture by @yohan2on.

What is TrueUSD, How it started, What is the motive behind it?

TrueUSD

TrueUSD received a high rating, which indicates that it is a good blockchain project with reliability and the ability to achieve its goals. TrueUSD is a stablecoin pegged 1 to 1 to the US dollar, managed by TrustToken. TrueUSD is widely used in the De-fi ecosystem as it is accepted as collateral for DAI, and 45% of the total supply is placed in the Aave loan pool. The security of TrueUSD deserves attention, as reserve fiat money is stored in third-party vaults and banks; the team does not have access to reserves. This means that holders can still redeem their US dollars through third parties, even if the TrustToken disappears. While its security is better than other stablecoins like USDT, which have had problems with insufficient reserves, it needs further adoption to compete with USDC and USDT.

TrueUSD was created for a wide range of applications, including basic financial services, trading, and online commerce. TrueUSD is available on Binance, Bittrex, coinmarketcap, and several other exchanges. In the future, the platform plans to add TrueEuro, TrueYen and stable baskets of tokenized goods (including precious metals and real estate).

What makes TrueUSD unique?

TrueUSD strives to balance stability and utility - the main use cases for any stablecoin - with the security of regular attestations.

Since its launch, parent company TrustToken has sought to highlight the importance of independently verifying the origin of a stablecoin. Thus, the attractiveness of stablecoin is focused not only on small private traders but also on larger investors looking to reduce risk.

On the official website of TrustToken, the TrueUSD developers position their TUSD stablecoin as "the first fully US dollar-backed regulated stablecoin."

TrueUSD is part of the ever-expanding stablecoin market, which now includes a large number of USD-backed assets. Tether (USDT) remains the largest with a higher market cap.

TrustToken has entered into various corporate partnerships as part of its commercial activities, including opportunities for TUSD holders to increase the annual yield of passive income.

credit

How is the TrueUSD network secure?

TrustToken is committed to providing maximum transparency through tools such as real-time auditing of TUSD support and reliability.

Aside from the belief in the validity of the USD peg, any security concerns are those that affect all standard ERC-20 tokens. For example, transactions could suffer from excessively high fees if gas prices on the Ethereum blockchain rise sharply.

Shortcoming of TrueUSD

When buying TUSD from TrustToken, users need to go through KYC and AML verification. Part of the cryptocurrency community believes that anonymity suffers from this.