One of the big trends in the token sector so far in 2018 has been that of the stablecoin. This is a token that will be pegged to some form of fiat currency, such as the USD and is aiming at helping volatility levels to be somewhat quelled.
Coinbase, one of the leaders globally for fiat to crypto exchanges, has just recently announced the launch of its debut stablecoin, while many of its competitors have or are looking to do likewise.
The new coin is called USDC or USD Coin and was created by Circle, the well-known payments processor. Now, users can buy or sell this stablecoin through the Coinbase platform, except for people living in New York.
Circle created this token after having acquired the Poloniex exchange. This token is collateralized with fiat currency and was made by the team at the Centre Blockchain Consortium, a company that was co-founded by Circle and Coinbase.
This ERC-20 token is one of many similar projects hitting the markets. Some exchanges such as Huobi and OKEx, in particular, have been quick to embrace these new stablecoins. Some of the other popular ones include the likes of TrueUSD, GeminiUSD and the Paxos Standard.
Now Tether is losing their position as the stablecoin leader as all of these new tokens are entering into the market. With Coinbase being somewhat of a prestigious exchange and well centred for those looking to get involved in the space, they could see some significant results in the future.
Whatever the case may be, it will certainly be interesting to watch how the crypto sector continues to mature and develop over time. A lot of the teething problems have been eliminated and institutional money is starting to enter into the equation now.