It is early for the global dollar (USDG), a stablecoin that debuted in November, but a thousand companies could join the group that helps popularize the token in exchange for a part of the yield won in reserve assets, according to Crypto Exchange Kraken, one of the founding partners.
USDG, whose other sponsors include the Robinhood trade platform (Hood), the Stablecoin Paxos issuer, Crypto Investor Galaxy Digital and Crypto Bank Anchorage Digital, recently welcomed 19 new carpenters, many of them native crypto companies. Banks and large traditional financial companies are also aligning, said Kraken consumer business leader Mark Greenberg.
“Now there are more than 25 partners, and I hope that in another month we will announce the next 25, and then the next 25. Then, from 25 to 50 to 1,000,” Greenberg said in an interview. “I am very excited about some of the partners who are in traditional finances and in cryptography, big names on both sides. We are talking to many banks and I think some will enter online soon.”
The changing stable landscape in dollars has been dominated by two great players: the USDT of Tether, from afar, the largest in a market capitalization of more than $ 150 billion, and the USDC of Circle, which has a circulation of just over $ 60 billion. USDG has only $ 276 million, which makes it the largest 24th Stablecoin in a Coingcko classification.
Paxos, the stablecoin specialist regulated by New York that supports the USDG, originally offered a contestant to the USDC and the USDT in the form of a link with Exchange Giant Binance, but the association was suspended for regulatory reasons.
Greenberg said that USDG is a “true consortium”, and Paxos is a distribution partner, although with some private administrative duties.
“We are building a decentralized community around Stablecoin, with a performance that goes back to all,” said Greenberg. “Some of us are founding partners, and if we were a real estate company, Paxos would be the administration of the property. They ensure that the licenses are in force and that the treasure bonds are handled correctly and that the coin is made. But it is in all of us to be equal partners to make the global DINA network a success.”
Promoting the growth of the consortium is the supply of performance, which encourages companies to join, and also reinvents Stablecoins as part of the broader financial system, Greenberg said. It is also how the USDG plans to challenge the dominance of Tether and Circle.
“I believe in decentralization about centralization. I think I return the value to users, and the USDG is doing it in a way that cannot be with Circle or Tether today,” Greenberg said. “Tether and Circle earn a lot of money. In the bank you give your deposits and they do things with him, but you have almost nothing back. But Stablecoins should not be so.”
Kraken moves a lot of money worldwide and, naturally, the company has been using USDG, eating its own dog food, in the business innovation language.
“We use global dollars and the USDG worldwide,” Greenberg said. “You send a cable and you can take four or five days and get stuck in a random bank on the road. That is already changing very fast. And you see players like Visa and Mastercard and others come to the table and Stablecoins begin to play that role in a much larger way.”
Kraken’s customers are also taking advantage of winning up to 4.1% in US dollars in all countries of the world by putting their money in USDG, Greenberg added.
“If you are in the USA. UU., Maybe that is not so exciting, because there are other ways to do it. But if you are in Argentina, or if you are in Canada, where there are no US dollar accounts and winning 4.1% is unheard of, it is a great opportunity for that to happen.”
