Goldman Sachs creates cryptocurrency that should be digital version of the dollar

USD Coin will be a faster, better and safer version of the US dollar

Source: Independent

The new cryptocurrency backed by Goldman Sachs hopes to offer a digital version of the US dollar that could one day be accepted anywhere that receives traditional coins. The cryptocurrency announcement was made by the startup Circle, which is owned by Goldman Sachs, the Wall Street giant. According to the company, the cryptocurrency will be pegged to the US dollar, which means that it will not suffer from the volatility problems that have plagued Bitcoin and other digital coins in recent years.

Due to this stability the USD Coin will have, as the cryptocurrency has been called, the currency will become suitable not only as an investment or a reserve of value. The creators of USD Coin say the Blockchain technology used by it will be a faster, better and safer version of the US dollar.

In a Circle blog post, startup announces the new cryptocurrency and says that “the invention of cryptographic assets and blockchain-based computing ushered in the next great era of the open internet […] But a stable means of exchange and value storage is lacking, and it is very necessary for global financial interoperability to work reliably and consistently. “

Although the new cryptocurrency meets Bitcoin’s initial goal of being an ATM system, being backed by a fiduciary currency and released by a major financial institution means USD Coin will not be a decentralized peer-to-peer system .

People will also not be able to extract USD Coin in the same way that other cryptocurrencies can be generated, since the only way to acquire them is to buy them. If the idea succeeds, Circle plans to create other cryptocurrencies linked to other traditional currencies such as the pound and the euro.