Dapper Labs Introduces New Stablecoin FUSD on Blockchain Flow

The maker of NBA Top Shot is introducing new tools for developers to launch tokens on the Flow blockchain.

Digital collectibles will always have a fluctuating price, but the amount used to buy it won’t.

Dapper Labs, the gaming company behind the Flow blockchain, has launched a new dollar-backed stablecoin in collaboration with Prime Trust, a provider of financial infrastructure.

Called FUSD, it will work like well-known stablecoins like Circles USDC and Geminis GUSD as it is simply one to one, backed by US dollars and deposited with the Prime Trust.

Roham Gharegozlou, CEO of Dapper Labs said:

“It was the first fiat-backed stablecoin on Flow. Dapper’s flagship product, the NBA Top Shot, used the USDC integration so far. “

Gharegozlou explained that FUSD happens simply because it is needed by non-dapper labs companies building on the Flow blockchain to provide a payment method for digital products to their users and Canada.

To date, most of these third-party apps have accepted payments in FLOW, the network’s native token, which is not available on exchanges in these countries. FLOW is trading at $ 12.78.

FLOW price chart | Source: Tradingview

New token standard

Gharegozlou in particular said that FUSD also represents the first ERC-20-like token on Flow made possible by the Flow Client Library (FCL), a new tool that enables faster development on the network.

ERC-20 is the Ethereum standard that enables Ethereum to support tokens other than its native ETH cryptocurrency.

“FCL gives everyone the opportunity to create their own ERC-20 style token on Flow,” said Gharegozlou, calling it “the flow equivalent of Web 3”.

Additionally, he said other stablecoins are in the works to get Flow, such as ETH, Flow’s native cryptocurrency.

Gharegozlou explains that such tokens are important:

“In order for you to be able to use the token in an unattended payment method, it must be on the blockchain that your payment is using.”

In an unattended system, a user’s assets never need to leave their control until they make a payment and exchange one asset for another. This protects users from third-party risks, an important principle of blockchain technology.

More stablecoin options will be good for both developers and users because with decentralized exchanges (DEXs) connected directly to applications, users can pay whatever they want with any token, and the payment is completed with any token the developer wants. in a single transaction.

In addition, Dapper Labs promises Stripe-like simplicity for crypto payments.

Why a new stablecoin?

According to Messari, the total market capitalization of stablecoins is over $ 100 billion.

While there are many options with other blockchains, FUSD is needed right now as Dapper Labs wants to provide such a payment method for developers building today. Others will come to Flow, but that timeline is beyond the control of Dapper Labs.

However, FUSD’s vision is to enable the flow ecosystem not to have to compete with huge stablecoins on multiple blockchains like USDC and USDT.

The payment app Ramp will be ready to offer Fiat ramps right now, and Moonpay will soon do so, according to Dapper Labs.

“This is a very safe, regulated, and risk-free coin that even the largest companies can use.”

Teacher

According to Coindesk

Follow the Youtube Channel | Subscribe to telegram channel | Follow the Facebook page