Crypto Exchange OKEx Backs Development of Latest Stablecoin

Crypto stablecoins, which act as alternatives for the dominating Tether (USDT), continue to pop up at least once a month recently. And the latest coin to hit the market involves popular exchange , with its CEO today announcing that his company is backing a new cryptocurrency that could be pegged to the U.S. dollar, in a partnership with SEC-regulated custodian Prime Trust.

I’m very excited about the strategic partnership with . We will carry out an in-depth collaboration and offer diverse, secure and regulatory compliant services with Prime Trust. I look forward to leveraging our synergies.

— Star Xu (@starokcoin)

Acting as a sort of safe haven where crypto traders can park their assets in volatile markets, the explosion of  is seen by many as a step to further the adoption process of cryptocurrencies, as it would give users an introduction to the main benefits of blockchain technology without having to experience extreme market volatility.
, formerly known as OKCoin, is based in Hong Kong but has over the course of . The venue also offers futures trading in both Bitcoin and Bitcoin Cash, though derivatives based on the latter have not been approved by any regulated business.
Las Vegas-based Prime Trust – the same state-chartered bank that supports other competing stablecoins – is already famous at the blockchain space thanks to its back-office solutions. The company began its Bitcoin storage service in July, and then added support for Ethereum and ERC-20 tokens.

Prime Trust and OK Group signed a strategic investment agreement this month. OK Group is our lead strategic investor and plans to launch a compliant stablecoin , which will operate in the future

— Prime Trust (@PrimeTrustCo)

Binance, the world’s largest cryptocurrency exchange by traded value, also continues to expand stablecoin options for its clients. The exchange has added  to its platform over the past few weeks, most recently supporting Circle’s USDC.
Prime Trust, however, is not the only company providing infrastructure and operational cryptocurrency custodianship for the wider investment management industry. Leading cryptocurrency exchange Coinbase, Japanese financial holdings company  and most recently , the owner of SIX Swiss Exchange, have all recently launched similar services for institutional investors.

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