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Ex-Coinbase execs to launch
Ex-Coinbase execs to launch

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Former Coinbase Executives Start a Stablecoin-Native Exchange Based on PayPal USD

TrueX, a crypto exchange run by former Coinbase executives, debuted using PayPal’s PYUSD stablecoin as main settlement currency. The platform seeks to improve security and liquidity in trade of digital assets.

Former Coinbase executives are poised to start TrueX, a new bitcoin exchange using PayPal’s stablecoin, PYUSD, as the primary currency for settlement. Focusing on the security and liquidity advantages of stablecoins, the platform, which formally announced its start on September 18, seeks to provide a new perspective on digital asset trading.

A Special Stablecoin-Native Exchange

TrueX is said to be a “stablecoin-native” exchange, meaning that rather than conventional fiat money all transactions on the site will be settled using stablecoins. In collaboration with PayPal USD issuer Paxos, TrueX has selected PYUSD as the default currency for settlement, therefore emphasising its ability to simplify liquidity and settlement procedures for digital asset buyers.

Choosing PYUSD, a quite recent stablecoin, signals a clear departure from more established coins such Tether (USDT) and Circle’s USDC. With a market capitalization of about $730 million, PYUSD is backed one-to- one by the US dollar, providing price stability; but, its scale is still lower than that of its rivals.

Founders from Rich Backgrounds

Vishal Gupta, former head of exchange at Coinbase, and Patrick McCreary, former senior developer at the same business, cofounded TrueX. Both both had important roles at behemoth Goldman Sachs in the finances. The team has a lot of knowledge in financial technology and cryptocurrencies, and their ideas from top positions in significant blockchain initiatives such as USDC at Circle will be valuable.

Gupta underlined that TrueX guarantees a clear separation between custody and transaction execution, therefore making trading platforms safer and more reliable. Leveraging stablecoins like PYUSD, the platform aims to provide better security and quick liquidity options.

Catered to institutional investors

Originally serving US-based universities, TrueX intends to grow globally. Aimed to draw institutional investors looking for consistent, effective crypto trading solutions, the platform fits inside the expanding infrastructure supporting Web3. Other big companies are also starting to occupy the market; DBS Bank recently revealed intentions to provide investors structured notes and crypto alternatives.

TrueX is a new competitor in a cutthroat field, hence it confronts difficulties; nonetheless, the creators are sure that their stablecoin-native strategy will attract investors who are security-minded. TrueX wants to carve out a space for itself by providing a simple and safe experience for its consumers as the market for stablecoin-based trading platforms expands.

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