What Is HUSD (HUSD)? How It Works & Where To Buy It

HUSD is the native stablecoin of the HTX platform, which is one of the world’s largest cryptocurrency exchanges. It is used for trading and functions similarly to USDT and USDC.

The exchange will continue to support HUSD trading, and allow users to purchase HUSD and trade HUSD because it is the preferred stablecoin of the exchange.

HUSD is currently the 237th largest cryptocurrency by market cap.

Sections

How HUSD (HUSD) Works

In 2019, Singapore’s HTX announced it would create a dollar-backed stablecoin and has since launched the HUSD stablecoin. It was created by Stable Universal and Paxos Trust and is HTX Global’s first regulated stablecoin, offering safe, secure, stable transactions.

Paxos Trust Company holds all of the HUSD Token’s dollars in reserves. Paxos Trust has New York State Department of Financial Services approval and has helped other businesses develop stablecoins.

It’s important to understand that HUSD isn’t HTX Token (HT). HTX’s utility token isn’t backed by fiat currency, whereas HUSD is the exchange’s fiat-backed stablecoin, allowing users to enter and exit quickly and cheaply.

The exchange will continue to ensure the HUSD price remains pegged to $1, which will promote transparency and security, as well as create more exposure to help support HUSD holding. Users can hold the tokens in their HUSD account once they have made a USD deposit or have swapped another token for HUSD.

Let’s take a look at stablecoins that are supported by HUSD:

Paxos

New York-based blockchain firm Paxos released their stablecoin Paxos Standard (PAX) in 2018. PAX is an implementation of the Ethereum (ETH) blockchain standard. Stablecoins are fully backed by US dollars, and the New York State Department of Financial Services has complete regulatory and authorizing authority over this particular stablecoin (NYDFS). The constant vigilance of these reputable institutions demonstrates the security of PAX.

Another benefit of using PAX is that there are no transaction fees. Users can also purchase PAX tokens at any time on the Paxos website at a 1:1 exchange rate with USD, and can withdraw PAX tokens at any time. To prevent the re-issuance of PAX tokens after they have been removed from circulation, the tokens are destroyed by a smart contract. PAX can be purchased on reputable marketplaces like Binance, Kucoin, Gate.io, and OKX.

TrueUSD (TUSD)

TrustToken introduced True USD, a prominent USD-pegged stablecoin. The company’s website claims that True USD is a fully collateralized, transparently verified, and legally protected ERC-20 stablecoin.

What makes this cryptocurrency stand out is its secure method of sending and receiving True USD tokens. Before being able to purchase the stablecoin, users must first pass the independent verification process, which includes the Know Your Customer (KYC) and Anti-Money Laundering (AML) requirements. After that, users must deposit US Dollars into an escrow account, which will then be used to mint the same number of TUSD. The user will have the option of purchasing additional tokens as they become available. Traders of all sizes can benefit from this system because it reduces their risk exposure.

Gemini (GUSD)

In order to conduct business on the Ethereum network, Gemini Dollar, a stablecoin that is pegged 1:1 to the US dollar and uses the ERC-20 standard, can be used. Users of Gemini have an easy time exchanging their GUSD for fiat currency.

The New York State Department of Financial Services’ stamp of approval adds credibility to the coin (NYDFS). Unlike other stablecoins, Gemini only stores its U.S. dollar deposits in one bank: State Street. These deposits are insured by the Federal Deposit Insurance Corporation (FDIC). In addition, monthly audits are conducted by an external auditor, BPM Accounting.

USDC

In collaboration with the CENTRE open source consortium, the Circle group created the stable cryptocurrency known as USD Coin. It was published this year (2018). One USDC must always be worth one USD since the stablecoin’s value is pegged to the dollar’s.

The Centre claims that it is transparent about the reserves it has available to back the peg to the USD because it works with auditors and abides by government rules. Users have access to balance reports once per month, which detailed data such as the total amount of USDT in circulation and its equivalent value in US dollars. The coin is currently trading on several markets, including OKEx and Poloniex.

What Is HUSD (HUSD) Used For?

HUSD is a native HTX stablecoin that is used to streamline and simplify the trading experience for users on the platform. The coin is backed by dollar assets and is trusted by members of the HTX community.

Once you deposit USD onto the HTX Global platform or swap any relevant cryptocurrency for HUSD – your HUSD account will be credited into your digital wallet.

Where To Buy HUSD (HUSD)

HUSD is available for purchase on the HTX Global platform. However, you must first deposit currency into an exchange before you can buy HUSD tokens on a centralized exchange. Your HUSD digital wallet on the exchange will then be credited with HUSD tokens.

You can purchase, trade, and store tokens at the crypto exchanges listed below:

Users need to be aware of the potential dangers involved before they can make any purchases on a controlled exchange. If a user stores tokens on an exchange, it effectively implies that the user no longer has control over their private keys. This is because the user’s tokens could be stolen in the event that the exchange is compromised.

The vast majority of users store their tokens in a digital or physical wallet. There is a wide selection of token wallets that can be purchased on the market today. MetaMask is a popular decentralized digital wallet.

FAQs About HUSD (HUSD)

How long has HUSD (HUSD) existed?

HUSD was first launched in 2019 and has seen growth in trading volume and adoption since its inception. The token is currently only available on the platform but has managed to see healthy growth in recent years.

What’s controversial about HUSD (HUSD)?

The cryptocurrency industry appeals to individual investors as well as institutional investors in equal measure. The market is susceptible to being taken advantage of despite the fact that the industry as a whole is expanding and brand new discoveries and advancements are being made on a daily basis. The victims of some of these cons have sustained financial losses amounting to millions of dollars over the course of the past few years.

People who are conducting research on projects ought to continually evaluate not only the facts but also what is rational about the data. Before you put any money into crypto companies, you ought to get as much information as you can about them and educate yourself as much as you can.

Let’s take a look at the biggest controversy surrounding HUSD (HUSD).

Restricted to HTX Global – The major concern for most people is that the HUSD token can only be found and traded on the HTX global platform. Many users find this to be incredibly restrictive and therefore don’t opt to use HUSD as their preferred stablecoin.

How many HUSD (HUSD) tokens are there?

At the time of writing, HUSD has a circulating supply of 160,663,906.49 HUSD

The total supply of HUSD is 160,663,906.

Can HUSD (HUSD) be mined?

HUSD can’t be mined. However, users have the ability to earn rewards on their HUSD tokens by staking their tokens on various decentralized platforms or by using a variety of decentralized financial products. Staking their tokens is typically the easiest way to earn additional tokens.

What is the market cap of HUSD (HUSD)?

The market cap of HUSD is the total tokens in circulation multiplied by the current HUSD price.

HUSD Market Cap = 160,663,906.49 HUSD x $1 = $160 million (237th largest market cap).

The total market capitalization changes in response to changes in circulating supply and market price.

Biggest Competitors Of HUSD (HUSD)

There is a selection of stablecoins and the sector is relatively oversaturated. Most individuals are wary of choosing a stablecoin other than USDC or USDT. These two stablecoins are in control of most of the market share.

The biggest competitors of HUSD (HUSD) are:

USDT
USDC

What Are The Future Plans For HUSD (HUSD)?

HUSD will continue to be traded on the HTX platform, and once HTX has completed the implementation of its distinctive DeFi features for its decentralized ecosystem, it may gain additional utility.

In the future, the HTX team will work toward expanding the use of the HUSD token as a preferred stablecoin by a greater number of people as well as increasing the amount of exposure that the HUSD token receives.

Pros And Cons Of HUSD (HUSD)

Pros

Stable price action – The HUSD token helps traders avoid volatility in the market and provides an easy way to ensure the value of their portfolio doesn’t fluctuate negatively.

Cons

Restrictive – The HUSD token can only be purchased on the HTX Global platform and many individuals see this as extremely restrictive. For this reason, many individuals prefer to use other major stablecoins such as USDT or USDC. The HUSD token has a much smaller market cap than its competitors.