J.P.Morgan’s Former Employees to Launch a Stablecoin

United under the new company named Global Currency Organization (GCO), former employees of J.P.Morgan, Intel and TrustToken are launching a US dollar-backed stablecoin, USD Digital (USDD).

The news was published on October 1st, 2019, along with the explanation that the new stablecoin will be different from its predecessors in a way that institutions who will be using it will have a right to claim a revenue.

USDD Uses the Ethereum Network

According to GCO’s CEO, Joe Vellanikaran, the new stablecoin will use the Ethereum network to ensure a certain level of transparency, while the revenue sharing model with their partners will be a popular 50-50.

Explaining who will benefit from the system, Vellanikaran described a hypothetical situation:

“Let’s say you’re a Japanese student living in the U.S. and you want your parents to send you funds. With the current process, you’d either need a U.S. bank account or be subjected to long delays and conversion fees. With our stablecoin, you should be able to receive your funds in a matter of days.”

Revenue Sharing to Establish a Company

Vellanikaran also reflected on how his company aims to make their new project attractive for institutions that want to use the blockchain by explaining that the already mentioned revenue sharing was implemented for that exact cause.

Further sharing his view of the global market, he stated that the wider adoption will come in “the next 10 – 20 years”, revealing his opinion that in order for that to happen, the cryptocurrency industry will have to have the support of institutions.