TL;DR
TrueX, the new cryptocurrency exchange, will use PayPal’s PYUSD as its primary token for transactions.
The exchange is targeted at institutional investors in the United States and select markets.
TrueX has secured $9 million in initial funding. Paxos will provide custody and backing for the PYUSD token.
Two former Coinbase executives, Vishal Gupta and Patrick McCreary, have announced the launch of TrueX, a new cryptocurrency exchange that will focus on stablecoins, with PayPal’s PYUSD being the preferred token for transactions.
Their strategy is based on capitalizing on the growing interest in assets like USDC and PYUSD, which offer greater stability compared to traditional cryptocurrencies by being directly pegged to the value of the US dollar. The exchange is primarily aimed at institutional investors in the United States and certain selected international markets.
Vishal Gupta, co-founder of TrueX, has solid experience in the crypto ecosystem. During his time at Circle, he oversaw the launch of the USDC stablecoin, and at Coinbase, he was the head of exchange. Patrick McCreary, on the other hand, served as a senior engineer at Coinbase and has a background at Goldman Sachs.
Both founders highlight that the combination of their skills, developed at some of the largest finance and cryptocurrency companies, has allowed them to create a platform that aims to make a difference in the sector.
The Union of TrueX and Paxos
One of the key features of TrueX is its focus on transactions exclusively with stablecoins. PYUSD, issued by Paxos Trust Co. for PayPal, will be the primary asset used on the platform.
This token is designed to maintain a one-to-one parity with the dollar, making it a safe haven for investors during market volatility. Paxos will also provide custody services to TrueX users, ensuring a secure trading environment that meets all regulatory requirements.
The exchange has also managed to secure significant initial funding, raising approximately $9 million in a funding round led by Hack VC and RRE Ventures. The platform has great potential to establish itself in the crypto market, aiming to offer a reliable and innovative alternative in the use of stablecoins.