A Regulated, Bitcoin Cash-Based, USD-Backed Stablecoin Has Been Released
- A new regulated stablecoin has been created, this time it uses the Bitcoin Cash blockchain as its host.
- The backing technology is the Simple Ledger Protocol, also chosen by Alliance Cargo Direct and Liberland for their own respective tokens.
A new stablecoin has just been introduced, and it utilises the Bitcoin Cash blockchain. HonestCoin is a product of the mutual work of HonestNode and Prime Trust and its official website advertises it as regulated and 100% collaterised with US dollars.
More curiously, it uses the security of the Bitcoin Cash blockchain, as compared to Tether which runs on Omni, Ethereum, EOS and Tron, as well as numerous other Ethereum-based stablecoins.
The news of the token’s existence came out of the blue, when ViaBTC-backed cryptocurrency exchange CoinEx suddenly announced support for it. CoinEx is notorious for heavily pushing Bitcoin Cash, and it is believed that this move is mostly an attempt to advertise Bitcoin Cash-based tokens, rather than a necessity in a market that is already saturated with stablecoins.
For the unaware, Bitcoin Cash can host crypto tokens, in a manner similar to Ethereum’s ETH20 technical standard. The vast majority of them are based on the Simple Ledger Protocol (SLP) – as is the case with HonestCoin. SLP has become the de-facto standard for Bitcoin Cash-based tokens, replacing Wormhole – a mostly abandoned fork of Omni.
And while SLP support in mainstream exchanges is meagre for the time being, HonestCoin is not the first token with real world use that utilises the technical standard. Recently, Liberland’s very own Merit token chose Bitcoin Cash as its host blockchain. And Roger Ver’s pitching skills apparently resulted in a massive partnership between bitcoin.com and ANA Holdings-funded Alliance Cargo Direct which saw the latter launch their own token using the SLP standard.
- PayPal USD (PYUSD) will be issued by Paxos and the Ethereum blockchain, and is backed by U.S. dollar deposits, short-term Treasuries, and similar cash equivalents.
- The company said the stablecoin can be redeemed for U.S. dollars at all times, and exchanged for any other crypto supported by the platform, including BTC, ETH, BCH, and LTC.
PayPal logo and sign in front of PayPal Holdings headquarters building in North San Jose Innovation District in Silicon Valley, San Jose, California, USA, 17 March, 2019. Michael Vi/Shutterstock
- 2022 is on the verge of becoming the largest year for crypto crime ever, with close to $3 billion being stolen so far.
- The majority of the hackers focused on cross-chain bridges and decentralized finance apps.
- FTX CEO Sam Bankman-Fried said in an interview it is very likely FTX creates a stablecoin, though it prefers to partner with someone on the project.
- While not many details were revealed, Bankman-Fried noted we could hear something on this topic in the “not-too-distant future”.