Stablecoins backed by fiat and other assets are increasingly gaining popularity, with many more solutions being brought onto the market each year. In their most basic form, cryptocurrencies allow people to transact , cutting out the centralized intermediaries and counterparty risk previously associated with digital money transfers.
instead of using centralized reserves, Aurus works with multiple metal producers and foundries to create precious-metal-backed tokens that have distributed reserves, ensuring that users are always protected against single points of failure. Guido van Stijn, CEO of Aurus, told Cointelegraph:
“We could have built a centralized solution, but if we want mass adoption for products like AurusGOLD and AurusSILVER, we need the acceptance of the precious metals industry itself while making our system open and beneficial for everyone.”
As such, it’s interesting to see how the cryptocurrency community will continue to invent and develop new solutions for stablecoins, while Bitcoin continues on its path to fulfilling its ultimate goal of replacing fiat currencies completely — something that may or may not happen.