Stabil announced its collaboration with the Tezos ecosystem in a release this week. The move will bring the USD-backed stablecoin USDS to the latter.
From Ethereum to Tezos
Stablecoin development project Stable said in a press release that the USD-linked stablecoin USDS is issued and made available on the Tezos blockchain. The latter is a decentralized open source blockchain network that can perform peer-to-peer transactions and serve as a platform for the provision of smart contracts.
We are happy to announce our collaboration with the #Tesos ecosystem by bringing our USDS stablecoin to @Tezos!
USDS is a regulated, fiat-backed stablecoin issued and managed by Prime Trust, a Nevada-chartered trust company.
Further information ?https: //t.co/obK9Zf8h20
– Stable (@StablyCoin) December 28, 2020
Since the start on the Ethereum mainnet in 2018, Stably has been setting new standards for transparency and usability in the stablecoin industry. “We are excited to bring the same standards to the Tezos ecosystem with one of the first stable coins in the world to be issued on Tezos,” the company said.
USDS is a stable coin created by Stably based on the FA2 token standard and issued by Prime Trust, a Nevada-chartered trust company that is also the regulated administrator for USDS.
For the uninitiated, stablecoins are cryptocurrencies that are usually attached to blockchains like Tezos – i. H. Digital Cash – Are Tied. Regulated, fiat-backed stablecoins such as USDS are fully covered by physical reserves of fiat money and can be redeemed at a 1: 1 ratio.
USDS avoids the price volatility of traditional cryptocurrencies, yet retains many of their useful features such as inexpensive, fast transactions and cross-border payments without the high fees of credit card processors or money transfer companies.
USDS will also use TZIP-15 and TZIP-17 standards which allow for easy token permitting and gas forwarding, i.e. H. The ability for users to pay transaction fees in USDS.
Why Tezos for issuing stablecoin
Stably said his experience of high and soaring gas costs on Ethereum was worrying and prompted the team to look for new ecosystems where USDS and the Stably Prime platform could be rolled out. “Tezos stood out for its ability to routinely coordinate protocol upgrades and implement feature enhancements,” the company said.
In a statement, Kory Hoang, CEO and Co-Founder of Stably, said:
“We are very excited to be part of the burgeoning Tezos DeFi ecosystem. With low gas costs, institutional security, and a new, regular schedule of log updates, we’re confident that Tezos is an ideal blockchain for the growth of our USDS stablecoin. “
With the recent upgrade to the Delphi protocol that reduced gas costs by up to 75%, Tezos has become even more attractive as we try to make tokenization and DeFi accessible to mainstream and institutional users.
In the meantime, any user can mint or redeem USDS on Tezos. In addition, the USDS will also be available on decentralized exchanges such as Dexter and QuipuSwap.
Stable added that it will continue to integrate this functionality into its Stably Prime web platform in the coming months, where the process of minting, redeeming or exchanging USD into Tezos USDS will be available and automated.
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