Bitcoin Global News (BGN)
July 18, 2018 -- ADVFN Crypto NewsWire -- Stellar and IBM are
working together to answer the Tether controversy.
On July 17th, it was publicly
announced that IBM will be backing a
Blockchain startup that plans to launch a new and improved version
of the oft-criticized stable coin. One of the major differences
between Tether and the new project, which will be
called Stronghold USD, is that the new project will depend on
the Stellar Blockchain.
As of the same day that the news
about Stronghold went live, the project launched. According to an
article by Fortune Magazine, it is also
the first of its kind to depend on the Stellar Blockchain at
all.
Despite the major difference
between Tether and Stronghold, one major similarity exists in that
both projects will be tied to the US dollar by a 1:1, even
ratio.
The key question is, logically, can
Stronghold show the Crypto space and the world at large, that
stable coins do not have to be controversial? Furthermore, can they
convince both the industry at large and the general public that
they will be transparent about their asset backing?
To explain, Tether has been panned
by many in the community for never allowing a full, public audit of
its finances, or mainly, the US dollars that it claims to have as
cash reserves.
As of now, it seems that no public
information has been released on the subject of the possibility of
Stronghold allowing an audit. Even so, what does seem to be true is
that its existing partnerships, including those that come from its
alliance with IBM, are quite promising, to say the
least.
With IBM’s major research
deal with Columbia
University leading the pack, it is not entirely off-base
to state that Stronghold currently leads the pack of stable coins
that just might rise to the top of the industry in terms of their
popularity.
The only factor that could majorly
hold it back at this point is the failure to produce an audit over
time and thus, the resulting comparison with Tether.
By: BGN Editorial Staff
News:
Stellar Lumen
(XLM)
IBM
Cryptocurrency
Tether
(USDT)
