Source: CMC Research
Stablecoin Industry Overview
Total stablecoin supply
In April 2022, the total market value of stablecoins reached a high of around $180 billion, but then fell sharply due to the overall pessimism in the industry. Recent data shows that this trend is reversing. The supply of stablecoins has risen again, and new funds are pouring into the cryptocurrency ecosystem. This trend coincides with a sharp rebound in the total market value of the industry - the total market value of cryptocurrencies has soared 109% so far this year.
Source: https://www.theblock.co/data/stablecoins/usd-pegged/total-stablecoin-supply
Stablecoin Market Share
USDT has gained some market share of USDC stablecoins, and its overall market share has increased. It is worth noting that TrueUSD (TUSD)’s stablecoin market share has increased significantly, from 0.53% of the total to 1.79% year-to-date, an increase of more than 238%. During the same period, TUSD’s total market capitalization grew from $799.31 million to $2.31 billion. This impressive growth underlines its rising position in the market.
Stablecoin Market Share
Stablecoin Trends
In the stablecoin space, TrueUSD has seen a large inflow of funds, which has also helped to increase its market share. Meanwhile, USDT’s market dominance has been further strengthened thanks to investments in US Treasuries with a total value of approximately $72.6 billion.
With a series of actions taken by mainstream financial giants, such as PayPal launching PYUSD and Visa adopting USDC for payment settlement, stablecoins are becoming increasingly accepted in the mainstream financial community. The rise of real world assets (RWA) also shows the increasingly close integration of traditional asset tokenization and decentralized finance. This trend has consolidated the industry position of stablecoins: as a key cornerstone, stablecoins can fill the gap between traditional finance and the rapidly developing DeFi ecosystem.
What is TrueUSD (TUSD)?
TrueUSD (TUSD) is a USD stablecoin with real-time verification on-chain by an independent third-party auditor. Its most important milestone is the integration with the Binance ecosystem, which has also helped promote the widespread popularity of TUSD. It is worth noting that TUSD provides a convenient investment channel for users who want to participate in Binance Launchpad projects: traders can directly use TUSD to invest in newly launched projects.
In addition, TUSD is now approved as a collateral asset for leveraged trading, and traders can hedge market volatility risks through Binance Futures’ multi-asset model. TUSD now has 13 spot trading pairs available on Binance, and its 24-hour trading volume remains high, which also demonstrates its increasingly important position in Binance’s trading business.
Leveraging Binance’s thriving DeFi ecosystem, TUSD has become compatible with decentralized trading platforms such as PancakeSwap and Ellipsis. This also shows that TUSD has sufficient flexibility and functionality to adapt to diverse trading needs. At the same time, the real-time on-chain reserve verification and ChainLink reserve proof mechanism adopted by TUSD have increased its credibility as a safe and reliable asset, which also indicates that TUSD will be more widely used on trading platforms such as Binance.
TUSD Core Data
TUSD has a place in the stablecoin market due to its large token circulation and stable trading volume. Although the market environment in which it is located is becoming increasingly competitive, with giants such as USDT and USDC, TUSD still maintains a strong data advantage:
As of the date of writing, TUSD has over 3 billion in circulation. While this number is still lower than the supply of USDT and USDC, it is much higher than DAI and on par with BUSD, reflecting TUSD’s overall widespread adoption and high investor confidence.
The TUSD trading market is very active, with a 24-hour trading volume of more than 200 million, but it lags behind the huge trading volumes of USDT and USDC. The advantage of TUSD is that it supports multi-chain applications such as Ethereum, TRON, and BNB Chain, allowing users to easily use tokens across platforms and DeFi applications.
TUSD Reserve: Real-time Verification
To further enhance the transparency and credibility of the stablecoin, TUSD uses the Chainlink Proof of Reserves (PoR) mechanism, making it the first dollar-collateralized stablecoin to be minted in real time through programmatic control, ensuring uninterrupted on-chain verification of off-chain dollar reserves.
TUSD's reserve data is aggregated by The Network Firm LLP (TNF), an independent accounting firm specializing in digital asset audits in the United States. The company is responsible for integrating the TUSD dollar reserve data stored in various financial institutions and updating the data information in real time.
In addition, TUSD announced on December 25, 2023 that it has reached a cooperation with leading accounting firm Moore Hong Kong (MooreHK), which will provide daily attestation services and reserve proof reports for TUSD from the end of January 2024. MooreHK is affiliated with Moore Global, a well-known accounting and consulting firm with over 100 years of experience. The Network Firm, a technology company specializing in accounting and auditing services for the cryptocurrency industry, will work with MooreHK to provide the most advanced technical support for TUSD. This cooperation will advance TUSD's globalization initiative, implement TUSD's commitment to increasing transparency, and set a benchmark for transparency in the stablecoin ecosystem.
Chainlink’s PoR mechanism helps TUSD’s smart contract verify the total supply of tokens before they are issued, ensuring that the supply does not exceed the number of dollars actually held in the reserve. This process is built into the smart contract code, providing a transparent and independent way to verify TUSD’s asset reserves.
Currently, TUSD’s more transparent reserve report is available on 11 blockchain networks, including mainstream blockchains such as Ethereum and BNB Smart Chain, and over 70 cryptocurrency exchanges. Interested users and institutions can view TUSD’s public audit results online.
TUSD Ecosystem
Exchanges
The TUSD ecosystem has performed very well in terms of trading volume on major cryptocurrency exchanges, indicating that TUSD is becoming increasingly popular and has gained the trust of traders.
Recent data shows that TUSD's 24-hour trading volume on selected trading days ranges from $100 million to $2 billion. This growth is mainly due to Binance's launch of the BTC/TUSD zero-fee trading event, which provides strong support for TUSD. TUSD has also been listed on HTX, OKX, ByBit and KuCoin, which also confirms TUSD's solid position in the cryptocurrency exchanges. TUSD on these exchange platforms has high liquidity and a diverse range of trading users, all of whom are optimistic about TUSD's stability and dollar-collateralized advantages.
As for mainstream trading pairs, TUSD can be traded with all popular cryptocurrencies. Taking Binance as an example, the trading volume of TUSD with Bitcoin (BTC), Ethereum (ETH), Binance Coin (BNB), Solana (SOL) and other trading pairs has reached millions.
In addition to the surge in trading volume, TUSD has also been more widely used in the financial business of major exchanges, occupying a prominent position in several major trading categories such as regular trading, futures contracts and leveraged trading.
Blockchain
TUSD supports multiple blockchains. The following is the distribution of TUSD on each chain as shown in the latest report in October 2023:
TRON
Due to the fast transaction speed and low fees of TRON, it has successfully attracted a large number of users and developers. The circulation of TUSD on the TRON chain is as high as 2,610,951,828, ranking first among all public chains.
Ethereum
The supply of TUSD on Ethereum is 703,196,784, accounting for a relatively high proportion of the total supply. At the same time, Ethereum is also favored by a large number of TUSD users due to its powerful smart contracts and huge ecosystem.
BNB Smart Chain
As the Binance ecosystem continues to expand, the number of TUSD tokens on the BNB Smart Chain has reached 30,130,364, reflecting the strong appeal of Binance’s internal market and Dapp ecosystem.
BNB Beacon Chain
The BNB beacon chain is also a major component of the Binance ecosystem, with a circulation of 145,016 TUSD on the chain.
In addition, TUSD can also be traded on first- and second-layer blockchains such as Avalanche, Fantom, Polygon, Arbitrum, and Optimism.
DeFi
TUSD has also made great progress in the DeFi field. PancakeSwap, a popular automated market maker (AMM) on the BNB Smart Chain, already supports users to directly trade TUSD with other stablecoins. The daily trading volume of the TUSD/USDT trading pair has exceeded 5 million US dollars. In addition, TUSD has also been listed on the leading AMM decentralized exchange Curve Finance, where the 24-hour trading volume of the crvUSD/TUSD trading pair is close to 1 million US dollars, and the liquidity is 4.2 million US dollars.
Partner
TUSD expands its influence and usage through strategic partnerships.
The collaboration between TUSD and IvendPay is particularly noteworthy. The IvendPay payment system integrates cryptocurrencies into retail POS systems, allowing consumers to use digital assets to pay for daily transactions. This collaboration promotes the adoption of cryptocurrencies in the mainstream market and demonstrates TUSD's strong commitment to practicality and convenience. TUSD is supported by various vending machines and POS terminals around the world served by IvendPay, and users can use TUSD to purchase real goods and services.
TUSD has also reached a cooperation with the well-known travel service platform Travala to provide travel and tourism convenience for TUSD holders: users can use TRC20-TUSD to book more than two million hotels and accommodations around the world. This is also fully in line with TUSD's mission, bringing users a crypto-friendly and smooth travel experience and enriching the real-world application scenarios of this stablecoin.
These partnerships are a vivid example of how TUSD is playing a major role in driving the everyday adoption of cryptocurrency. With IvendPay and Travala, TUSD can be used for a variety of transactions, from retail shopping to international travel planning, providing users with a stable and reliable option and showing the future of finance.
By promoting the above cooperation, TUSD continues to increase its appearance frequency in daily life, which fully demonstrates its potential to integrate into global business activities and daily life and maintain sustainable development.
How do I mint or redeem TUSD?
Users can mint and redeem TUSD directly through a dedicated web application, which is simple and easy to use.
Minting and redeeming TUSD only requires the following steps:
Minting TUSD
Create an account: Go to app.tusd.io to create an account, submit KYC verification information and wait for verification.
Make a wire transfer: After successful verification, please wire USD to the bank account provided by TUSD, and your funds will be handed over to a trusted third party for custody.
Minting TUSD: After confirming receipt of the wire transfer, the platform will mint the corresponding amount of TUSD at a 1:1 ratio and transfer it to your associated digital currency wallet.
Redeem TUSD
Log in to your account: Go to app.tusd.io, log in to your account and select Redeem TUSD.
Send TUSD to the redemption address: The platform will send you a unique redemption wallet address, please transfer TUSD to this address.
Receive USD: Once the platform completes token verification, it will remit USD to your bank account after deducting the handling fee, thereby redeeming TUSD for fiat currency.
For more information about each step and what information you need for the transaction, please refer to the detailed guide.
TUSD Future Outlook
The stablecoin market is about to enter a new phase of strengthened regulation, tightened policies, and deeper integration with traditional finance. As global discussions on central bank digital currencies (CBDCs) deepen, the positioning of stablecoins such as TUSD will become clearer. As the stablecoin industry matures, the industry may generally upgrade its proof of reserve scheme and increase transparency to win the trust of more users and regulators. TUSD has done a great job in these aspects. By adopting real-time verification and Chainlink's PoR mechanism, TUSD can exceed the growing demand for real asset reserve verification in the stablecoin market.
