TiedCo announced the release of Tiedcoin, a new stablecoin that will be fully collateralized by euro (EUR) and yen (JPY,) the world’s first Yen denominated cryptocurrency.
TiedCo has entered an exclusive partnership with the beaXchange, wherein, the token will be traded on the fully-featured cryptocurrency trading platform. The terms of the agreement between the two entitle TiedCo to act as a market maker of these coins and to stand in the market to buy-back all coins issued at near face value.
With the unique, innovative market making and buy-back facility, worlds first Japanese stablecoin Tidecoin will have access to greater liquidity. In addition, the holders could convert the coins to fiat currency in a simple and transparent manner.
At present, Tiedcoin is available in two options, Tied2EUR, backed up by reserves in Euro, and Tied2JPY, backed up by reserves in Japanese Yen. So, for each of the aforementioned stablecoin in the market, there will be a Euro or Yen saved up in a tier-one bank.
Simply putting, when you buy T2EUR, the Euro you pay goes to the vault, whereas when you sell it, the Euro gets removed from that bank and returned to you.
In a press release shared by TideCo, the firm claims to pledge 100% buyback on all issued stablecoins. This is done in order to guarantee a stable future by ensuring that there’s always a buyer when you intend to sell the token. T2EUR and T2JPY could be bought directly from TiedCo, as well as from third parties, as with any crypto.
Further the partnership with beaXchange works both as crypto support and added value. All transactions with T2EUR and T2JPY will be instant, including selling your Bitcoin or Ethereum in exchange for these tokens. Tiedcoin, in addition, offers cross-platform wallet functionality, i.e. you can exchange your Tiedcoin for Stellar, Bitcoin, Litecoin, Ethereum via beaXexchange at no cost.
Perks of Tidecoin
In most transactions of exchanging fiat to crypto the wait time plays a disincentive role, whereas Tiedcoin, could purportedly be converted to any cryptocurrency happens instantly, as stated in the release.
Another major consideration for an investor interested in investing in the crypto market is the conversion fee. Most banks and exchanges charge a fee whenever you buy or sell, subsequently cutting into your profits, especially when an asset is sold too soon. Though with, Tidecoin, the transfers on beaXchange don’t incur fees.
So, you can buy BTC, ETH, or any other big crypto using T2EUR or T2JPY with no fees at all. Just as well, when you sell your main crypto for tied, you pay no fee.
The emergence of Stablecoins
The volatility of the crypto market is no secret and it is, in fact, one of the main holdups for investors while considering entering the ecosystem. With this volatility not ceasing or flying anytime soon, a Fiat-backed stablecoins offers a relatively risk-free environment, wherein the investor can jump in and out of the market at will.
Hedging against the drawbacks of traditional cryptocurrencies Stablecoins, essentially enhances the transaction cycle by expediting the conversion of unstable currencies to stable ones or otherwise instantaneously. Which is why Stablecoins have started to gain ground, albeit slowly and steadily.
There are two operational models for stablecoins – the first one being algorithmic. Here, stablecoins were both generated and marketed based on an algorithm that attempted to artificially keep the coin at a given value – in much the same way that central banks often do to keep fiat currency values at certain prices.
However, the algorithmically based stablecoins does not have any backup whatsoever and could subsequently lose its intended ‘stability’ tumbling into worthlessness overnight, either by a market shift or an algorithm error.
The second type of cryptocurrency is actually with backups. The said backups are kept by the companies issuing them and can be either in other fiat currencies or in properties with assured values. Given the inherent backing of the coin with a tangible asset, an intense tumbling could not be a fear as there is actual money behind it, and stablecoins are issued and operational based on the interplay of demand and supply.
Notably, the second category is where Tied sits. For more information on the coin visit Company’s Website: https://www.altcoinsidekick.com/ or visit https://www.beaxchange.com.