Table of Contents
- 1 What is TrueCAD (Canadian Stablecoin)?
- 2 What Can TrueCAD (Canadian Stablecoin) Be Used For?
- 3 Advantages of TrueCAD (Canadian Stablecoin)
- 4 Disadvantages of TrueCAD
- 5 TrueCAD and Tokenization of Real-World Assets
- 6 FAQs
- 7 What is Trusttoken?
- 8 What is A Smart Trust?
- 9 Conclusion
TrueCAD was launched in 2019 and is one of many tokens housed under the popular token platform, TrustToken. TrueCAD is backed by the Canadian dollar at a 1:1 parity and was co-founded by the current CEO, Rafael Cosman.
With an impressive background in engineering, Cosman, along with Jai An, Stephen Kade, and Tory Reiss, created TrustToken, which launched in 2017. With a degree in computer science from Stanford University, Cosman’s previous roles include working for Google Brain as a Machine Learning Engineer and developing machine technology for health services.
What is TrueCAD (Canadian Stablecoin)?
TrueCAD (TCAD) is one of five stablecoins created under the TrustToken platform. Compared to coins such as Tether, TrueCAD, and other stablecoins created under TrustToken have guaranteed transparency.
Tether recently came under fire as it was feared that the coin was not backed at the 1:1 exchange rate users thought it had.
What Can TrueCAD (Canadian Stablecoin) Be Used For?
TrueCAD has escrow accounts in professional financial institutions such as banks. It can be used for the following:
Trading & Exchanging
TrueCAD is perfect for trading as the coin itself is undeniably stable. This high stability enables the easy exchange of coins.
It allows for easy online payments to various e-commerce websites.
A nonvolatile coin such as TrueCAD is ideal for transferring across the world because of its stability.
You may find that the price of a stablecoin does not rise as significantly as other coins such as Ethereum or Bitcoin. However, stablecoins are good for investing in, particularly if you want to hold onto funds rather than buying to sell them.
Advantages of TrueCAD (Canadian Stablecoin)
If you are looking to invest in a stablecoin, TrueCAD could be the coin for you. Let’s take a look at its advantages.
Built On TrustToken
One advantage is that TrueCAD was created by the co-founder of a reputable cryptocurrency platform. Along with the other stablecoins, TUSD, TAUD, TGPB, and THKD, TrustToken aims to tokenize real-world assets eventually.
1:1 Parity Ensures Stability
Unlike other cryptocurrencies such as Bitcoin or Tether, TrueCAD is a stablecoin backed by the Canadian dollar at a 1:1 parity. This dollar-for-dollar exchange ensures the stability of your investment, and although you may not see prices rocket, there is also less chance of prices plummeting.
If you are a first-time investor, stablecoins such as TrueCAD are a great and safe place to start. To use TrueCAD, users must first pass an AML or KYC check. This ensures that all users are who they say they are, making it legal.
Each TrueCAD is also pegged 1:1 to a Canadian dollar, held and managed by legitimate financial institutions.
Increase in Trading Options
With a clear vision, TrustToken is moving towards a future where the tokenization of real-world assets that have never been tokenized before is possible. This will create more opportunities for investors and traders when it comes to trading options.
Instead of simply using stablecoins as a store of value or for trading through exchange platforms, TrueCAD will be used for fractional ownership of real-world assets which can be traded globally.
Disadvantages of TrueCAD
The only main disadvantage is that there are many other stablecoins on the market that are not too dissimilar to TrueCAD.
TrueCAD and Tokenization of Real-World Assets
In the not-so-distant future, TrustToken aims to tap into the market of real-world assets, including real estate, small businesses, sports teams, tv shows, and even books, worth an estimated 250 trillion dollars.
This will allow real-world assets to be tokenized and traded on TrustToken through a smart trust. A smart trust is the digital, improved version of a traditional legal trust. Beneficial ownership of this asset is then appointed to a smart contract which is carried on a blockchain.
Holders of this asset can then distribute smart trust tokens that correspond to the asset’s ownership. This is known as tokenization.
What is the purpose of TrueCAD?
TrueCAD is a fully collateralized and legally verified stablecoin. It is pegged to the Canadian dollar at a 1:1 ratio.
What blockchain does TrueCAD run on?
TrueCAD is an ERC20 token and runs on Ethereum.
Will TrueCAD become more valuable over time?
There is plenty of potential for TrueCAD to become more valuable. The implementation of smart trusts shows optimism for the coin.
Is TrueCAD completely legal?
Yes, TrueCAD is backed by the Canadian dollar, which is stored and managed by renowned financial institutions. This should be enough to ensure investors of its legality.
What is Trusttoken?
Trusttoken is the platform on which tokens such as TrueCAD were created. These asset-backed tokens can be bought and sold globally. They are fully collateralized and perfectly legal as they are backed by fiat currencies at a 1:1 ratio.
The platform is currently trying to break into the $256 trillion dollar market of real-world assets, including real estate, commodities, small businesses, and even tv shows, games, and sports.
Imagine a world where you can buy and sell houses and businesses using digital currency. This is all down to blockchain technology that legalizes these types of transactions through the use of smart trusts and contracts. There is no legal enforcement over what you are buying or selling without these.
What is A Smart Trust?
A smart trust runs along the blockchain and appoints beneficial ownership to the assets held in the trust to a smart contract.
Its owner is able to manipulate the tokens to have an arrangement of usage abilities, voting rights, and equity stakes. These tokens can then be sold through any exchange or application.
TrueCAD is a stablecoin backed by the Canadian dollar. This asset-backed token can be found on TrustToken, which is popular for its creation of TUSD.
Other asset-backed coins on this platform include TGBP, TAUD, and THKD. Each coin is backed by a real-world asset with a 1:1 ratio. They are all completely legal and fully collateralized.
This stablecoin does not, at this moment, have many holders but could take off pretty soon. TrustToken aims to break into the 256 trillion dollar market of real-world assets. This groundbreaking move could see assets such as real estate, small businesses, and commodities making their way onto blockchain technology that could soon be bought, sold, and traded all around the world.