TrueUSD Pauses Minting and Redemption for Signature Bank Users, Banking Network Unaffected
Singapore-based Techteryx, the issuer of the stablecoin TrueUSD, has paused minting and redemption for its users with Signature Bank, as reported in a press release on March 13. The pause is due to the closure and backstopping of Signature Bank, announced by the US government.
However, TrueUSD continues to be fully functional across the rest of its banking network, and minting and redemption are unaffected. With a market cap of over $2 billion, TrueUSD is the most transparent and trusted stablecoin through any market conditions. It provides real-time attestations on its reserves and secures its minting through Chainlink’s Proof of Reserve System.
The US Government announced the closure & backstopping of Signature Bank. As a result, TrueCoin paused TUSD minting & redemption for our small number of Signature Bank users. Minting & redemption continues unaffected across the rest of our banking network.https://t.co/kLKvrRUhE1
— TrueUSD (@tusdio) March 13, 2023
Binance has the largest holdings of TrueUSD at $428 million, according to data from Nansen.ai. Binance recently gave significant support to TrueUSD by minting 657 million TUSD on TRON in just 24 hours, boosting the stablecoin’s market capitalization, as reported by AZCoin News.
The addition of six new spot trading pairs on Binance’s platform, including BNB/TUSD, BTC/TUSD, ETH/TUSD, TUSD/USDT, USDC/USDT, and USDP/USDT, has further increased the popularity and use of TrueUSD.
TrueUSD’s direct contact with its Signature Bank users and its commitment to transparency and security through Chainlink’s Proof of Reserve System make it a reliable and trustworthy stablecoin for users and investors alike.
According to a recent report from AZCoin News, Signature Bank was closed on March 12 in an effort to prevent the spread of a banking crisis. Established in 2001, Signature Bank is a commercial bank based in New York City, USA. As of December 31, 2022, Signature had total assets of $110.4 billion and total deposits of $88.6 billion. It is considered one of the largest virtual currency banks in the US alongside Silvergate, with a strength in supporting businesses in the cryptocurrency industry.
The closure of Signature Bank marks the third major collapse in the history of US banks after SVB and Washington Mutual (2008). Moreover, Signature is the third financial organization to shut down in just one week, alongside SVB and Silvergate.
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