CoinLoan expands the list of currencies available on the platform with two major stablecoins — GUSD and USDC. They can be used to lend and borrow, which means that they are intended to become an alternative to fiat currencies.
Please be reminded that a few months ago, TUSD stablecoin was integrated into the CoinLoan Platform.
Meet TrueUSD on CoinLoan
CoinLoan has added crypto-dollar to the currency list.
Let’s see what’s going on here and what this milestone gives to platform users.
What is a Stablecoin?
As the name suggests, fiat-backed stablecoins are backed by fiat currencies to stay stable and trade at a fixed (almost😉) value relative to U.S. dollar for example. Pegged 1:1 to the USD, GUSD and USDC allow bridging the conventional banking system and the new digital one.
Cryptocurrency volatility is the stuff of legend. You can buy Bitcoin for one rate today and sell it tomorrow for another. In contrast to conventional cryptocurrencies, you can be sure that the value of your stablecoins isn’t going to fluctuate like crazy. Thus stablecoins are widely used by traders that want to avoid price fluctuations or hedge against volatility.
Why you need Stablecoins on CoinLoan
As a payment option on the CoinLoan Platform, stablecoins create some new opportunities and use cases. They can be used for cross-border and cross-platform funds transfers. For instance, when it comes to crypto arbitration between exchanges or an instant funds withdrawal.
A further value lies in the fact that a significant part of lenders has no desire/opportunity to invest in fiat. We’ve faced such a case enough times. With GUSD, USDC and TUSD that’s no longer a problem.
Stablecoins are also way out for those, who want to have nothing to do with traditional banking bureaucracy. They make it possible to avoid time-consuming deposit and withdrawal procedures.
What is GUSD about?
The Gemini dollar (GUSD) is the world’s first regulated stablecoin. It combines the creditworthiness and price stability of the U.S. dollar with blockchain technology and the oversight of U.S. regulators.
What is USDC about?
USD Coin from Circle (USDC) is a fully backed US dollar stablecoin, Coindesk says according to last month auditor’s attestation. USDC uses the ERC-20 standard, which provides detailed financial and operational transparency, operates within the regulated framework of US money transmission laws, and is reinforced by established banking partners and auditors.
How to use GUSD & USDC on the CoinLoan Platform?
For your convenience, we have created a new separate section for stablecoins in My Wallet tab.
To invest using GUSD or USDC, you need to buy them on one of the exchanges on pictures above. Or you can register an account on Gemini or Circle respectively, deposit U.S. dollars to your wallet and convert them into stablecoins. When everything is ready, deposit your coins to the CoinLoan platform with 1–2 clicks and use them as an alternative to fiat money.
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