IBM has partnered with fintech startup Stronghold to launch a stablecoin pegged to the US Dollar. The cryptocurrency will be tied to government-backed fiat deposited at banks covered by the Federal Deposit Insurance Corp (FDIC).
A fintech startup called Stronghold is launching a new cryptocurrency pegged to the US Dollar, reports CNBC. “Stronghold USD”, as the new cryptocurrency is called, will be backed one-for-one with US Dollars which are held by blockchain-focused asset management company Prime Trust. The charted firm will deposit the money at banks which are insured by the FDIC.