Coinbase Inc., one of the biggest US cryptocurrency trading platforms, said it’s joining a consortium, which includes Circle Internet Financial Ltd., that is offering a digital token pegged to the value of the US dollar.
USD Coin will be the first so-called stablecoin supported by San Francisco-based Coinbase. Circle was the first issuer of the coin in September. The consortium, called Centre, will serve as a platform for users to make deposits from traditional bank accounts, convert fiat currency into tokens issued by members to facilitate transactions and provide the ability to shift back to the greenback.
There’s been a slew of new issuance of stablecoins recently as industry enthusiasts try to find more uses for crypto. Tether is the largest of the bunch, but is beset by doubters amid concern as the company has refused to be audited and won’t disclose its banks. Gemini Trust Co. and Paxos Trust Co. both launched stablecoins in September.
This story first appeared on Bloomberg.