TrueUSD pauses minting of the TUSD stablecoin through Prime Trust

Quick Take

  • TrueUSD, issuer of TUSD, said that is has paused minting of the stablecoin through Prime Trust.
  • BitGo has reached a deal to acquire Prime Trust.

TrueUSD, issuer of TUSD, has paused minting of the stablecoin through Prime Trust until further notice. It can still be minted and redeemed through other financial services.

Las Vegas, Nevada-based Prime Trust is currently in the works of being acquired. BitGo Holdings said it has signed a non-binding term sheet to acquire 100% of the equity of Prime Core Technologies, the parent company of crypto custodian Prime Trust. BitGo said the deal would bring business continuity and long-term stability to the financial firm's clients.

The TUSD stablecoin has peaked in popularity since getting adopted by Binance, in the wake of regulatory trouble for its associated BUSD stablecoin. The Bitcoin:TUSD trading pair is currently the highest pair on Binance by trading volume. That said, its $2 billion market cap is still small compared to major stablecoins like USDT and USDC.


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Stablecoins are kept to their pegs through a minting and redemption process. If the price is above peg, large holders can directly swap dollars for the stablecoin and sell on the open market. Conversely, if the price goes below the peg, such entities can buy the stablecoin on the open market and redeem it directly. Yet these require financial partners like Prime Trust, who can handle the fiat payments.

Prime Trust offers various developer tools and APIs to crypto companies, including for custody, payment rails, compliance, liquidity and settlement.

© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.

About Author

Tim is the Editor-In-Chief of The Block. Prior to joining The Block, Tim was a news editor at Decrypt. He has earned a bachelor's degree in philosophy from the University of York and studied news journalism at Press Association Training. Follow him on X @Timccopeland.