Crypto startup TrustToken has launched a new address management feature for companies that use the TrueUSD stablecoin.
The company announced Monday that exchanges which list the dollar-pegged token can more easily manage client deposits with AutoSweep, which allows an exchange to provide each of its clients a unique deposit address. Each of these deposit addresses is matched to the exchange’s central wallet.
These aliases can be thought of as similar to having multiple email addresses on the same domain, and TrustToken says any single central wallet may be able to utilize as many as 1 million deposit addresses.
Terry Li, a software engineer with TrustToken, told CoinDesk that the new feature is not just aimed at exchanges, but can also benefit merchants or other companies trading with TrueUSD, explaining:
“There’s a few benefits to this, it’s much cheaper for exchanges to [use], they don’t need to run a lot of transactions to aggregate all these users’ tokens into their hot wallet, so that’s one thing … It’s also less key management, [companies] wouldn’t need to manage all the private keys.”
This last factor, in particular, may aid merchants and users more than exchanges, he noted.
Once deployed, the end user will not see any difference in their experience.
In a statement, TrustToken head of product and engineering Rafael Cosman added that the feature will reduce gas costs for exchanges, referring to the tiny amounts of ether required to power transactions on the ethereum blockchain.
“AutoSweep is the first implementation of an ‘alias’ feature for an ethereum-based token and allows exchanges to significantly improve both the accounting structure and save on time and gas cost by automatically sweeping user accounts to the central wallet,” he said.
The code underpinning the feature is open-source, and can be applied to any ERC-20 token, said David Steinbruck, the marketing communications manager at TrustToken.
Safe deposit boxes image via Shutterstock