TRON partnered with Carbon, a New York City-based startup, to launch the first fiat-backed stablecoin on the network.
TRON announced that Carbon’s “TRXD” would be the first stablecoin to launch on the TRON blockchain. Each TRXD is FDIC-insured and backed one-to-one by U.S. dollars.
The move is meant to reduce the friction for payments for in-app purchases on the TRON network. According to Justin Sun, founder of TRON and CEO of BitTorrent:
“We are excited to collaborate with all partners to launch user-friendly stablecoins on TRON. These are important milestones for making TRON more accessible to mainstream users.”
Unlike Tether’s USDT, which is difficult if not impossible to redeem, users can purchase and redeem TRXD on TRON via the Carbon website. New TRXD can be minted via ACH or wire transfer.
According to Sam Trautwein, co-founder and CEO of Carbon:
“Our goal is to build products that people use. TRON shares an unwavering loyalty to both growth and adoption. We’re excited to join forces to bring stability to a more mainstream audience in launching a fully fiat-backed stablecoin on TRON.”