Crypto startup TrustToken has launched its second stablecoin – one pegged 1:1 to the British pound.
Revealing the news exclusively to CoinDesk on Tuesday, the firm said its new TrueGBP token is now available for trading on over-the-counter (OTC) desks, including Alameda Research, Bluefire Capital, Galois Capital and QCP Capital. The firm is working to make it available for general trading on cryptocurrency exchanges soon.
TrueGBP will trade under the ticker symbol TGBP and will initially be backed by GBP funds held in U.S. escrow accounts, TrustToken said.
Rafael Cosman, the startup's co-founder and head of engineering and product, told CoinDesk:
TrustToken already offers a dollar-pegged stablecoin called TrueUSD, a product launched in March 2018. At the time, the firm said it plans to launch stablecoins linked to the yen, euro and other fiat currencies in the future.
Reiterating the point, TrustToken indicated Tuesday that TrueGBP is the "first of several" stablecoins planned for launch “in the coming months to open up new opportunities for payments, international remittances and foreign exchange.”
Cosman said in the statement:
The TrueGBP token is based on the same technical and legal standards as its dollar-pegged sibling, he added.
TrueCoin, LLC, the entity first created by TrustToken to oversee TrueUSD, is a registered MSB with the U.S. Financial Crimes Enforcement Network (FinCEN). It has now partnered with “independent state-licensed trust companies to manage the British Pounds backing TrueGBP,” according to the statement.
The firm raised $20 million in a strategic token sale with the help of major VC firms, including Andreessen Horowitz (a16z), last June.
Pound image via Shutterstock
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.