Japanese Company Launches New Stablecoin Pegged to the US Dollar
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A Japanese company has launched an ERC-20-compliant stablecoin that it says offers “absolute decentralization, maximum security and a reliable source of stability in the face of volatility.”
As its name suggests, USDDex is directly pegged to the United States dollar, helping traders to move their money into crypto without exposing themselves to the erratic price movements seen in other major digital assets such as Bitcoin and Ethereum.
The company believes that its stablecoin could become a viable alternative to fiat and trigger the mainstream adoption of cryptocurrencies, giving employers a safe way of paying their workers’ salaries while enabling consumers to make purchases with confidence.
USDDex firmly believes that 2019 is going to be the year of the stablecoin, citing research that suggests that the monthly trading volume of the first five such coins in the market has now exceeded $100 billion. Indeed, even major corporations are getting in on the action, with reports suggesting that Facebook is engaged in a top-secret project to launch its own.
The fixed rate of USDDex means that one of its tokens equates to $1. Adaptable to both centralized and decentralized exchanges, the firm says that its cryptocurrency is supported by most major Ethereum wallets, including MyEtherWallet, MetaMask, Ledger and Parity.
Presently, the company is also preparing to list on 20 exchanges, including HitBTC, Stellar, Bibox and Changelly.
Reliable and stable
The company says that every USDDex stablecoin is collateralized in excess, meaning that those who own this cryptocurrency are inoculated against wild price swings, irrespective of how the market behaves.
More than 800 trading pairs are also supported, enabling users to switch from Ethereum, Bitcoin, XRP, EOS, Litecoin and hundreds of others to USDDex with ease.
In a video explaining its vision, USDDex executives argue that stablecoins are essential if crypto is going to be used on a widespread basis, as right now, prominent coins and tokens only prove beneficial to speculative traders.
Ayako Nakamura, the company’s chief marketing officer, explained: “USDDex introduces the breakthrough technology and the possibility to develop an independent, transparent and potentially more stable monetary policy than ever before. The priority in the corporation is interaction with leading decentralized exchanges.
“The highest level of estimated reliability is provided by open-source code — proved by a repeated comprehensive security audit as well as open information of each USDDex token. Everyone can review this information.”
An experienced team
USDDex’s CEO and founder is Hitoshi Shibata. The entrepreneur — who is part of a working group on blockchain integration into Japan’s banking sector — started the business after leaving a 15-year career at Mizuho Financial Group. According to the company’s website, he “successfully developed and implemented complex economic projects for governmental and private organizations” while serving in this role. He believes that decentralized stablecoins are going to represent the next big breakthrough in the crypto industry — and in the past, he has invested in blockchain projects including 0x and Binance Coin.
He is joined by Naoki Sakamoto, the chief operating officer; Masaki Hatano, chief technology officer; Jiho Hong, chief information officer; and Ayako Nakamura as CMO. Tatsuo Okuda, Naoki Tamura and Satoko Kudo all serve in an advisory capacity.
The company raised funds in a closed round in December 2018, and says this initiative exceeded expectations after achieving its target in a matter of hours. An additional sale of limited amount of USDDex stablecoin with 45 percent bonus is launching on March 19, one month before the stablecoin is officially offered to the public. The company says its main goal “is the open and active participation of the crypto community in the life of the project.”