What is TrueUSD (TUSD)?

What is TrueUSD (TUSD)?

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TrueUSD is a fiat-backed stablecoin created by the TrustToken platform that holds USD money in third-party escrow accounts without TrustToken having direct access to them.

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TrueUSD is an Ethereum-based ERC-20 coin that is pegged to US Dollars in bank accounts. TrueUSD is the only stablecoin that allows for real-time auditing.

 

Component TrueUSD (TUSD)
Technologies Proof of Reserves, smart contracts
Market Capitalization $1.32 Billion+
Open-Source Yes
Consensus Mechanism None
Smart Contracts Yes
Founders/Authors TrustToken, Rafael Cosman
Launch Date 2018
Circulating Supply of Coins 1,315,710,195 TUSD
Maximum Coin Supply None
Mining-based Coin? No
Is TrueUSD a Stablecoin? Yes
Does TrueUSD have a burn rate? Yes
Does TrueUSD have a Whitepaper? Yes, the whitepaper can be viewed here

 

Evolution and Development of TrueUSD

TrueUSD is a stablecoin created by TrustToken, a corporation co-founded and led by Rafael Cosman.

Cosman has a longstanding interest in encryption and artificial intelligence (AI), having worked at both Google Brain and the software business Palantir. In 2017, he left Google to start TrustToken.

Following growing concerns that surround Tether's financial stability and banking links, Trust Token decided to establish a stablecoin named TrueUSD (TUSD).

TrueUSD was first proposed in the early months of 2018. TrustToken Platform made the decision now to address fraudulent and manipulative tactics in the industry.

According to Cosman, TrueUSD was always only the beginning of TrustToken's product range, requiring minimal effort in exchange for establishing a high-impact asset.

There is no question that the increasing frequency of frauds and manipulations inside the crypto community has raised significant concerns. Prominent exchanges are attempting to safeguard the industry's image. As such, TrueUSD was created to mitigate the dangers associated with cryptocurrency adoption.

With a value directly tied to the US dollar, the asset is concerned with delivering legal safeguards and real-time audits to its holders through its unique characteristic of transparency.

TrueUSD is well regarded for its openness. It has become the favored method of payment for many merchants.

 

What makes TrueUSD unique?

TrueUSD, like other fiat-backed stablecoins, is backed 1:1 by US dollars put in an account. TrueUSD is a kind of debt certificate that entitles the bearer to receive US dollars in exchange for it.

TrueUSD's issuance and redemption mechanisms are distinct from those of two prominent stablecoins, namely Tether and USD Coin.

With these stablecoins, the USD reserve is managed by the firm, Tether, Ltd. in the case of Tether, and Circle in the case of USD Coin, respectively. The businesses retain complete discretion over how they choose to deploy the deposited cash per their profit/risk tolerance.

TrueUSD's US money, on the other hand, is stored in various escrow accounts. This implies that none of TrustToken's members will ever have access to the deposited US money.

The third-party escrow accounts are critical to the correct operation of any TrustToken tokenized asset. Anyone who meets the KYC and AML standards may use their application to purchase/redeem TrueUSD.

TrustToken prevents itself from issuing tokens via the use of publicly audited smart contracts. The funds never even make it into the hands of the TrustToken team.

When an escrow account gets USD, new TUSD are instantly minted. Each time a user redeems USD, the equal quantity of TUSD is instantly burnt. Thus, TrustToken maintains a 1:1 USD to TUSD ratio between funds in escrow and TUSD in circulation.

When a user completes the KYC/AML process, they can transmit USD straight to one of TrueUSD's trust partners (along with Ethereum wallet address). After the escrow business verifies the money, the API communicates with TrueUSD's smart contract, which generates tokens at a 1:1 ratio and delivers them to the supplied wallet.

 

What are the main uses for TrueUSD?

TrueUSD allows anyone to utilize the token, implying that there are no limits on who may retain the currency. This, however, is contingent upon TUSD being listed on the exchange business in question.

As a result, anybody with the smallest interest in cryptocurrency use may use TUSD at any moment, without the worry of a turbulent market. In other words, the asset is very accessible to crypto-related businesses, dealers, and corporations interested in entering the crypto market.

TUSD may also be used to assist institutional crypto investments by catering to mainstream trade for the advantage of digital currencies and financial institutions.

 

What is the future potential for TrueUSD?

TrueUSD is being listed on an increasing number of exchanges, and the corporation provides monthly and, at times, biweekly attestations. The team anticipates releasing other crypto assets soon, including TrueEuro, TrueGold, TrueBond, and TrueYen.

Additionally, supporters can anticipate stable baskets of tokenized assets like precious metals or real estate, which will subsequently be listed on major crypto exchanges.

 

Price analysis on TrueUSD

TrueUSD was initially launched in 2018, and its price analysis over the past four years are as follows:

 

  2018 2019 2020 2021 to date
TUSD Price High $1.085 $1.033 $1.044 $1.010
TUSD Price Low $0.984 $0.987 $0.970 $0.998
Market Cap $215.13M $255.02M $517.17M $1.53B

 

Price prediction on TrueUSD

By the beginning of 2022, the TrueUSD price is expected to hit $1.2857241. The anticipated highest price is $1.6071551, while the anticipated lowest price is $1.0928655.

For the end of the month, the TrueUSD price forecast is $1.2857241. TrueUSD is expected to trade at an average price of $1.28579 within the next year. The anticipated highest price is $1.60724; the anticipated lowest price is $1.09292.

 

Where can you buy TrueUSD?

TUSD can be bought, sold, traded, and exchanged on any of the following crypto exchange trading platforms:

  1. Gate.io
  2. Binance
  3. Huobi Global
  4. HitBTC
  5. OKEx

 

1. Gate.io: Gate.io is referred to be an altcoin exchange for a reason: it supports a wide range of unique currencies and approximately 400 distinct cryptocurrency marketplaces. However, it is not concerned with fiat—the platform's functionality.

 

PROS CONS
There is a broad range of markets and digital assets that can be traded Fiat deposits are not supported
The exchange offers several different trading opportunities There is a lack of regulation
There is dedicated customer support offered The exchange can be confusing for beginner traders
The platform is excellent for IEOs  
The platform has an innovative mobile application  
Traders can use up to 10x leverage when they trade  

 

2. Binance:  Binance is the largest crypto exchange trading platform, according to its daily trading volume. It was created in 2017 and is based in Cayman. Binance was established by Changpeng Zhao, and while it was founded in China, the exchange was relocated because of strict control that the Chinese government exercised over cryptocurrencies.

 

PROS CONS
Binance is one of the largest crypto exchanges according to daily trading volumes  Account verification can be tedious
The exchange offers a wide range of extra services  The corporate structure is not transparent
There is an extremely large coin selection  
The exchange caters for beginners and professional traders  
 The exchange has a high level of trustworthiness  

 

3. Huobi Global: Huobi Global is a market leader in the financial services sector for virtual assets. In 2013, the founding team anticipated the blockchain industry's enormous potential to alter the future of the global financial system.

 

PROS CONS
The trading platform and dashboard are sophisticated yet user-friendly Fiat deposits and withdrawals are not supported
There are three distinct trading platforms offered The withdrawal limits are low
There is both leveraged and margin trading offered There is low leverage offered
There is a wide range of trading instruments  

 

4. HitBTC: HitBTC is a renowned European bitcoin exchange that offers cryptocurrency trading to institutional investors, merchants, and individual traders globally. Ullus Corporation established and operates the trading platform in late 2013.

 

PROS CONS
The exchange offers anonymous trading The demo account interface is not fluid
The interface is intuitive and user-friendly The verification is time-consuming
There are several crypto coins offered Withdrawals are sluggish
The fees are competitive and low There is no mobile trading app
There is robust security applied  
Customer support is multilingual  

 

5. OKEx: OKEx has been in operation for the past five years, and it is a renowned crypto exchange headquartered in Seychelles. OKEx offers the perfect environment where traders can exchange different digital assets. In addition, the exchange offers sport and derivatives trading along with other services.

 

PROS CONS
OKEx offers a wide range of fiat currencies that can be used to register an account United States clients are not accepted
Educational resources are offered The multi-tiered fee structure is complex
There are high staking APY's offered  
There are hundreds of trading pairs offered  
The dashboard is easy to navigate and use  
Technical support is prompt and helpful  

You can buy TrueUSD safely from these cryptocurrency platforms.

Does TrueUSD use coin burns?

Yes, TrueUSD uses coin burns. When users purchase TUSD tokens, new coins are minted, and US Dollars are kept in reserve in a 1:1 ratio for each TUSD coin.

When TUSD is sold, the coins are subsequently burnt.

 

What is TrueUSD’s largest Competitor?

The largest competitor of TrueUSD is Tether.

Jean-Louis founded tether van der Velde, who is also the CEO of Bitfinex and Tether Limited. He is the only person in charge of issuing and backing the Tether tokens with the corresponding USD.

Tether is backed by a single US dollar for each token created, even though it is a contentious Cryptocurrency. Additionally, this currency is known as — USDT, and it is issued on the Bitcoin blockchain using the Omni Layer protocol.

Similarities between the coins include the following:

  • Both currencies provide investors with protection by shielding them from price crashes caused by market volatility.
  • Both coins are backed by US dollars and provide a 1:1 conversion rate when redeemed for US dollars.

 

TUSD, on the other hand, is not as popular as USDT owing to its late entry into the crypto market and hence is unable to achieve that level of popularity.

 

What can TrueUSD smart contracts do?

Smart contracts on TrueUSD are used to mint and burn TUSD.

When traders convert USD to TUSD, funds are sent to escrow accounts which will automatically send a signal to TrustToken. TrustToken will then activate its smart contracts, effectively minting TUSD, which are transferred to the trader's wallet address.

If traders redeem their TUSD, the funds will be sent to the TrustToken smart contract, signaling for the tokens to be burnt and the proportional amount of USD to be returned to the trader.

 

Is TrueUSD a Good Investment?

Yes, TrueUSD is a good investment.

Because stablecoins are tied to real-world assets, they do not increase in value. This does not exclude investors from “investing” in stablecoins in the same way that they would foreign currencies. The US dollar is the world's reserve currency now.

Certain individuals may even hedge their country's currency by investing in more stable currencies like British pounds, Canadian dollars, and Australian dollars – all of which may be tokenized via TrustToken.

Another incentive to invest in TrueUSD is that it is widely used in DeFi applications like liquidity pools and peer-to-peer lending, which enables investors to earn high-interest rates.

With a near-zero danger of experiencing liquidity issues, TrustToken may potentially issue as much TUSD as users need and deliver the precise number of dollars required by TUSD holders. This characteristic is what attracts both major and small investors to TUSD.

 

What is the supply and distribution of TrueUSD?

There are 1,315,710,195 TUSD in circulation at the time of writing. TrueUSD's redeemability against USD is ensured by relationships with banks and fiduciary institutions.

 

Is TrueUSD a viable Alternative Coin?

Yes, TrueUSD is a viable alternative coin.

  • Hacking – TrueUSD does not have a history of hacking attempts.
  • Security – TrueUSD is considered one of the most secure stablecoins.
  • Price Stability – TrueUSD is a stablecoin, and its price is extremely stable in a 1:1 ratio with the US Dollar.
  • Potential Investment – TrueUSD, as a stablecoin, is a potential investment that can help investors hedge inflation and crypto market volatility.

Any cryptocurrency that isn't Bitcoin is referred to as an altcoin.

What are the differences between TrueUSD and Bitcoin?

Bitcoin was established to facilitate the movement of funds over the internet. Bitcoin aims to create a decentralized payment system that could be utilized in the same way as conventional currencies.

Multiple escrow accounts are used to mitigate counterparty risk and provide holders with legal protection against theft. TrueUSD was created for traders as well as exchanges.

TrueUSD is an excellent instrument for hedging against market volatility and for entering markets without first purchasing BTC/ETH.

 

  Bitcoin TrueUSD
Price change 20/21 +400% 0%
Market Cap $800 Billion+ $1.32 Billion+
Past Hacks None None
Popularity Very High Very Low
Altcoin Rank #1 – Original Crypto #86

 

What are the differences between TrueUSD and Ethereum?

Ethereum facilitates the creation and operation of smart contracts and DApps, without the need for downtime and void of all fraud, control, or intervention from a third party.

TUSD is an ERC-20 token that was launched on the Blockchain of Ethereum for use in trades over exchanges, the transfer of value, and as a hedge against volatility.

 

  Ethereum TrueUSD
Price change 20/21 +880% 0%
Market Cap $460 Billion+ $1.32 Billion+
Past Hacks None None
Popularity Very High Very Low
Altcoin Rank #2 #86

 

What are the differences between TrueUSD and Dogecoin?

Initiated as a joke, Dogecoin has since gained popularity as a more accessible and friendlier alternative to the more formalized Bitcoin.

The Dogecoin community has elevated DOGE to the level of a cult currency. Dogecoin has the backing of influential persons like Elon Musk, who has shown his interest in cryptocurrency.

TUSD is one of the most trusted stablecoins and a direct competitor of USDC, Tether, and several others. TUSD's high level of trustworthiness comes from its transparency, frequent audits, and the use of smart contracts during the minting/burning of coins.

TUSD is a digital currency and a medium of exchange, but it can also be used as an investment vessel to hedge against market volatility and inflation.

 

  Dogecoin TrueUSD
Price change 20/21 +7,300% 0%
Market Cap $22 Billion+ $1.32 Billion+
Past Hacks None None
Popularity High Very Low
Altcoin Rank #12 #86

 

What are the differences between TrueUSD and NEO?

Neo (NEO) is a blockchain-based network that is open-source and free to use. It enables developers to develop digital assets as well as DApps and smart contracts.

TrueUSD is a stablecoin that is pegged to the US Dollar at a 1:1 ratio, using smart contracts for tokens to be minted and burnt according to demand. TUSD is used to hedge against inflation and the volatility inherent in the crypto market.

 

  NEO TrueUSD
Price change 20/21 +160% 0%
Market Cap $1.70 Billion+ $1.32 Billion+
Past Hacks None None
Popularity Medium Very Low
Altcoin Rank #69 #86

 

What are the differences between TrueUSD and NFTs?

Tokens that are not fungible are referred to as nonfungible tokens (NFTs) and are digital assets. They are all unique in their properties and values, with no two NFTs sharing the same traits or values. TrueUSD, on the other hand, is fungible, which means that one TUSD has the same value and characteristics as another TUSD.

 

What are the differences between TrueUSD and Solana?

Solana is a fast, secure, and censorship-resistant blockchain providing the open infrastructure required for global adoption. Solana is known as one of several Ethereum killers because of its unique technology and fast throughput of up to 50,000 TPS.

To maintain a constant value against the US dollar, TrueUSD uses smart contracts to issue and burn tokens in response to market demand. As a currency hedge, TUSD is used to protect against inflation and market volatility.

 

  Solana TrueUSD
Price change 20/21 +9,300% 0%
Market Cap $54 Billion+ $1.32 Billion+
Past Hacks None None
Popularity Very High Very Low
Altcoin Rank #5 #86

 

What is a Stablecoin?

“Stablecoins” refer to cryptocurrencies that are supposed to be based on another cryptocurrency, fiat money, or commodities that may be exchanged on an exchange.

Coins backed by assets that vary outside of cryptocurrency markets, which reduces financial risk, are an asset-backed cryptocurrency's main advantage.

Stablecoins are cryptocurrencies whose value is tied to a more stable asset, a fiat currency, to combat price volatility. Our everyday fiat currencies, such as dollars and euros, are examples of government-issued fiat currency.

A “reserve” is often established by the stablecoin's underlying asset or assets, which are held in a safe location. One-way stablecoins are tied to real-world assets is by this method.

Stablecoin holders can easily cash out their tokens and have an equivalent quantity of the asset backing them withdrawn from the reserve, which acts as collateral for the stablecoin.

 

Is TrueUSD a Stablecoin?

Yes, TrueUSD is a fiat-collateralized stablecoin with a 1:1 peg with the United States Dollar.

 

Which wallets support TUSD tokens?

A cryptocurrency wallet is a piece of software that stores public and private keys that are unique to the wallet's owner. Wallets enable interaction with blockchains, allowing users to conduct purchases and transactions as well as check their account balances.

While the public key of a crypto wallet is analogous to a username, the private key is analogous to a password. As a result, users must never divulge their private keys.

When one user transfers another cryptocurrency, the recipient must be able to match the private key to the public key to unlock and spend the cash.

While no coins or currencies are exchanged, the transaction is recorded on the blockchain. This results in a change in the sender's and receiver's bitcoin wallet balances.

The best digital wallets that support TUSD are as follows:

  1. Math Wallet
  2. MetaMask
  3. Trust Wallet
  4. Huobi Wallet
  5. imToken

 

1. Math Wallet: Math Wallet is a robust global cryptocurrency wallet that supports multi-chain currencies and decentralized applications on mobile, browser extension, online, and hardware wallets.

Features of the Math Wallet include:

  • The ability to receive and transfer cryptocurrency
  • The ability to browse blockchain information
  • Blockchain resource management capabilities
  • Portfolio management and access to comprehensive newsfeeds
  • Support for more than 67 popular coins

 

2. MetaMask: MetaMask is one of the most popular and trusted crypto wallets that offers an innovative gateway to several blockchain applications. MetaMask is a browser extension that offers its users secure login, a comprehensive wallet, exchange, and an innovative mobile app.

Some unique features of MetaMask include:

  • Users can swap tokens from the MetaMask desktop or mobile wallet.
  • The Swap feature combines data from several DEX aggregators as well as market makers and others, providing users with the best prices and low network fees.

 

3. Trust Wallet: Trust Wallet is a cryptocurrency wallet. This is an electronic management solution for digital currencies that allows you to manage them online, stay current on market trends, and support a range of digital currency content.

Trust Wallet's key features include:

  • Instant exchange of crypto
  • The wallet is private and secure
  • There is an innovative browser for DApps offered
  • Users can purchase crypto using a credit card

 

4. Huobi Wallet: Huobi Wallet is a multi-currency wallet designed for professionals. It ensures worldwide digital currency users' asset protection on various fronts and delivers easy, convenient, secure, and trustworthy digital assets.

The Huobi Wallet offers the following features:

  • Users have control over their assets, and they manage their private keys
  • There are several patents supported relating to data security
  • Multi-signature is supported
  • Users can easily manage group addresses

 

5. imToken: Millions of people in more than 150 nations and regions throughout the globe have access to imToken, a worldwide blockchain digital asset wallet. It is based on a digital identity that accepts BTC, ETH, EOS, ATOM, BCH, TRX, LTC, CKB, DOT, KSM, FIL, and XTZ tokens, as well as other cryptocurrencies.

Some of the primary features son this wallet include:

  • The wallet is a multi-chain wallet that consolidates different tokens
  • There is a secure and reliable DEX offered
  • Offers a hardware wallet, imKey
  • Provides access to a DApp browser for Ethereum, EOS, and TRON DApps