JPMorgan, Intel Alums Launch Revenue-Sharing Stablecoin USDD

By October 1, 2019 Ethereum
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Former employees of JPMorgan, Intel and TrustToken have unveiled a dollar-backed stablecoin with a twist: revenue sharing for the institutions that use it.

Their new company, Global Currency Organization (GCO), developed the USD Digital (USDD) token. It aims to break through with exchanges, traders and OTC desks looking for a stablecoin product but unwilling to develop one themselves.

A novel fifty-fifty revenue sharing model incentivizes that adoption, GCO says, and USDD’s placement on the ethereum blockchain provides users with transparency.

“It’s the best of both worlds,” said CEO Joe Vellanikaran. “They get the stablecoin, and they get the revenue that GCO shares with them.”

Vellanikaran began working on stablecoins at TrustToken as a general manager for the San Francisco firm’s TrueUSD token – also pegged to the dollar.

He recognized the value stablecoins brought to institutional investors and individuals, especially in moving money across markets. Backing the tokens with USD brought more stability and trust.

“Let’s say you’re a Japanese student living in the U.S. and you want your parents to send you funds,” Vellanikaran told CoinDesk. “With the current process, you’d either need a U.S. bank account or be subjected to long delays and conversion fees. With our stablecoin, you should be able to receive your funds in a matter of days.”

Vellanikaran wants to expedite a worldwide adoption of blockchain-based currencies, which he said will come about “in the next 10 to 20 years.” But that global shift will only come with institutional support, he said.

“For a company to emerge and help move all these dollars to the blockchain, we really have to open it up to the partners” who want to use stablecoins, he said, adding:

“That’s what we think we can do through revenue sharing.”

Stability image via Andrew Palmer / Unsplash

Their new company, Global Currency Organization (GCO), […]

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