Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD

Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD

A consortium of blockchain companies including Bittrex International, Brave, Cred, and Bitgo is launching a new stablecoin. Universal Protocol Alliances Universal Dollar (UPUSD) is a dollar-pegged token whose holders will earn interest, just like a regular savings account. The consortium has announced ambitious plans to launch UPUSD in Africa and Latin America first, to attract the next 100 million users into cryptocurrency.


Crypto Assets That Pay Interest Are So Hot Right Now

Competition for the USD ticker is fierce these days. In addition to TUSD, GUSD, and USDC, the stablecoin economy now has UPUSD. Universal Protocols stab at a stablecoin, developed with the backing of Bittrex International, Uphold, Brave, Cred, Blockchain at Berkeley, Bitgo, and Certik, is an ERC20 token that will allow its holders to earn interest for staking. In that respect, there are clear parallels to be made with Blockfis crypto interest account, which launched this week promising BTC and ETH holders 6 percent per year. Dan Schatt, president of Cred, told news.Bitcoin.com that UPUSD will pay quarterly interest as high as 10 percent annually.

What distinguishes the Universal Dollar from the competition is the target market its designed for. Countries crippled by weakened national currency, such as Venezuela and Zimbabwe, will purportedly be among the first beneficiaries of UPUSD. The Universal Dollar stablecoin promises a competitive annual rate of return and it is anticipated that uptake will be particularly strong in countries with high inflation or limited access to traditional banking. Dan Schatt explained:

Today, Uphold and Cred service hundreds of thousands of users in developing and high-inflation countries. Many Venezuelans use Creds service, looking for the same returns and stability as the rest of the world. The difference is they are in a country with a 10 million percent inflation rate.


A Passive Income for Token-Holders

The UP platform will enable users to lend their USD-pegged assets and earn interest via Upholds Cred Earn application. UPUSD will also be rolled out in developed countries, where it will permit users to store their digital assets on a 1:1 basis at FDIC-insured banks. The token will launch on March 8 on Uphold, whose UP platform has been praised by UPUSD backer Brendan Eich, co-founder of Brave, for its usability and familiarity.

The platform incorporates a number of features designed to enhance its user-friendliness, particularly to non-technical users who may be new to cryptocurrencies. This includes key recovery, using a 2-of-3 private key-sharing system that will enable the wallet owner and one of their approved third parties to restore a lost wallet. Users can also delegate control over their assets to a third party such as a centralized exchange for temporary trading, before taking back custody of the funds and restoring them to their personal wallet. The development of UPUSD is the latest example of crypto assets taking on the form and features of the legacy financial system that they were originally designed to leave behind.


The post Universal Protocol Alliance Launches Interest-Paying Stablecoin UPUSD appeared first on Bitcoin News.

08.03.2019 / 07:30 34
Binance Adds USD Coin (USDC) to its Combined Stablecoin Market (USD(S)) Binance Adds USD Coin (USDC) to its
On the 16th of November this year, Binance announced that it was renaming its Tether (USDT) market to a combined Stablecoin Market(USD(S)). The
Huobi Launches Multi-Stablecoin HUSD Huobi Launches Multi-Stablecoin HUSD
CCN is expanding. Are you our next full-time journalist from the West Coast USA? Send us your CV and examples here. For some, perhaps the only thing
Binance the Latest Exchange to List Goldman Sachs-Backed USDC Stablecoin Binance the Latest Exchange to List
Leading cryptocurrency firm Binance has become the latest exchange to list the USDC stablecoin. In a statement, the cryptocurrency exchange indicated
Stablecoin Wars: Coinbase Token Attracts Capital But PAX Dominates Trading Stablecoin Wars: Coinbase Token
Its now been nearly two months since Winklevoss-led cryptocurrency exchange Gemini fired the first shot in the stablecoin wars through the launch of
Coinbase to List Competitor-Backed Stablecoin Amidst Growing Interest Coinbase to List Competitor-Backed
Coinbase will reportedly list a stablecoin initially backed by one of its closest competitors after joining the consortium behind the USD-pegged
The Daily: Binance to Expand in Singapore, Uphold Launches Loan Service The Daily: Binance to Expand in
In todays edition of The Daily, we look at a strategic investment that could help Binance to establish a fiat-to-crypto exchange in Singapore. We
Comments (0)
Add a comment
Comment on