Introducing a dollar-pegged, Bitcoin-backed stablecoin, built without dependencies on banks
Stabolut, a startup building a completely new worldwide payments ecosystem, announced the launch of a decentralized, dollar-pegged, Bitcoin-backed stablecoin that is not reliant on banks, called USB. Available as of today, USB is a stablecoin issued under a groundbreaking model built on decentralized pillars of trustless infrastructure and security that have made Bitcoin the world’s most trusted and reliable cryptocurrency.
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“Following the collapse of FTX, Silvergate Capital, Silicon Valley Bank, and many other CeFi platforms in 2022, it is evident that DeFi and the entire crypto industry need better ways to safeguard users’ funds and, most importantly, restore their trust. USB is what we all were looking for.“ ”
Becoming available on a private beta starting today, USB (US-Bitcoin), a stablecoin that has been built in a revolutionary approach that will reroute the crypto markets unlocking new opportunities for fast and simple trades to power exchanges, financial institutions, businesses, developers, and users.
USB enters a very hot market, with stablecoins totaling 140 billion in capitalization, and expected to grow to at least 1 trillion dollars.
Leaders in the cryptocurrency industry have been long calling for a stablecoin that is truly decentralized, privacy-preserving and backed by assets that have been verified and audited along with being invulnerable to shutdowns.
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“Stabolut is setting the new industry leading standards for moving financial value across the internet and crypto markets with USB,” said Eneko Knorr, co-founder and CEO of Stabolut. “There is clear market demand from users for a reliable stablecoin choice, given the collapse of UST -Terra Luna’s stablecoin-, as well as witnessing the recent instability caused by the de-pegging of USDC following recent bank failures we have seen this year. With USB, Stabolut aims to unlock a new era of transparent, privacy-preserving, fast, inexpensive, and interoperable exchange across the globe,” adds Julian Beltran, co-founder and CTO of Stabolut.
While trading futures on BitMEX -the derivatives cryptocurrency exchange- back in 2018, Julian realized how hedging Bitcoin would make it possible to develop a stablecoin pegged to the USD value without having to rely on any stored fiat currency. However, it was not until last year when Eneko Knorr, his now cofounder, joined him to kickstart the project.
In September 2022, Stabolut embarked on the development of USB, a Bitcoin-backed stablecoin designed to reflect the value of the US Dollar through an innovative method: shorting Bitcoin via a Bitcoin inverse perpetual swap. Asset-backed USB eliminates the need for bank accounts, ensuring immunity from crackdowns or frozen funds, and bolstering complete privacy and resilience. Fiat-backed stablecoins face centralization and regulatory hurdles, limiting access and innovation while increasing counterparty risk and reducing user privacy. USB’s approach aligns with Bitmex co-founder Arthur Hayes’ recent Nakadollar (NUSD) concept.
“USB addresses the limitations of fiat-backed stablecoins, which suffer from centralization and regulatory challenges. By both mitigating counterparty risks and enhancing user privacy, we aim to expand the accessibility and foster innovation in the stablecoin market,” expressed Eneko Knorr.
USB provides additional benefits such as real-time audits of the assets to ensure transparency and reliability to their users.
Stabolut is backed by the founders of Dextools.io, a growing ecosystem with over 30 million monthly views on average. Dextools.io is a platform where traders can keep track of all details about the state of decentralized markets.
On USB, Frederic Fernandez, co-founder of Dextools.io, expressed the need of addressing CeFi’s shortcomings from previous terms:”Following the collapse of FTX, Silvergate Capital, Silicon Valley Bank, and many other CeFi platforms in 2022, it is evident that DeFi and the entire crypto industry need better ways to safeguard users’ funds and, most importantly, restore their trust. USB is what we all were looking for.“
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