Volatility that makes the rate jump up and down is the main disadvantage of cryptocurrencies. Stablecoins are designed to solve this problem and bring stability to the crypto space. We are going to discuss one of them, the mighty HUSD token.
Huobi USD (HUSD) is a fiat-pegged ERC-20 token priced 1:1 with USD. Its owner is Huobi Global, a reputed digital asset exchange platform.
The coin was launched in November 2018, as a comprehensive solution of Stable Universal Limited, Paxos Trust Company, and Huobi. HUSD was based on 4 stablecoins — Paxos’ PAX, TrustToken’s TUSD, Circle’s USDC, and the Gemini exchange’s GUSD, combined under one ticker for the convenience of users. In July 2020, Huobi transitioned it from a stablecoin basket to an independent, USD-backed stablecoin. Paxos is securing the dollars backing HUSD. Stable Universal, in cooperation with other companies, provides auditing of smart contracts and controls on-chain Huobi USD transactions. All attestation reports and documents aimed to prove the asset’s U.S. dollar reserves can be viewed at stcoins.com.
Huobi USD is a relatively small stablecoin, although its activity has increased in 2020. This February, the exchange minted $5 million HUSD. As reported by Whale Alert later, another $1.3 HUSD was minted.
The exchange’s coin has shown excellent performance so far in 2020, which is why some exchanges have decided to take a step forward by increasing their presence in the stablecoin sector.
The first way is to trade the coin at Huobi Global. The second way to get the token is to register at www.stcoins.com and buy HUSD 1:1 for USD.
Disclaimer: This article should not be considered as offering trading recommendations. The cryptocurrency market suffers from high volatility and occasional arbitrary movements. We kindly ask traders to do their research.