A new stablecoin is aiming to challenge USDT, and it has some serious backing. Reeve Collins, the co-founder of the massive stablecoin company Tether, is now leading the charge with a new project.
USP: A Yield-Bearing Challenger
Collins is chairman and co-founder of Pi Protocol, the brains behind USP, a stablecoin set to launch later this year on the Solana and Ethereum blockchains. Unlike USDT, USP plans to use smart contracts for transactions and will be backed by bonds and other income-generating assets.
Decentralization and Yield Sharing
The Pi Protocol project emphasizes decentralization, promising users a bigger share of the profits generated by the stablecoin’s backing assets. This contrasts with Tether, where the profits are kept internally.
Collins explained his reasoning, stating, “I strongly supported Tether; it’s a fantastic invention. But Pi Protocol represents the next step for stablecoins. Tether showed the world wants stablecoins, but they keep all the yield. We believe the market is ready for something better.”
Focus on Safe, High-Yield Assets
Pi Protocol CEO Bundeep Singh Rangar highlighted the focus on secure, high-yield assets backing USP. “We’re looking at assets that aren’t tied to crypto, offer mid-to-high yields, and have low risk,” Rangar said. “We have a system to carefully vet these assets, checking their loss ratios and origins.”
Disclaimer: This information is for general knowledge and shouldn’t be considered investment advice. Always do your research before investing in cryptocurrencies.
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