The $2 billion in reserves that support Archblock's stablecoin TrueUSD are under its management (TUSD). Following the reserve transfer, Capital Union Bank now has more than $1.4 billion, according to a real-time attestation released on Wednesday by a reputable accounting company. From $438 million on March 10, this is an increase.
As New York-based Signature Bank, formerly Archblock's biggest banking partner, was unceremoniously shut down by US regulators two days later, Archblock started transferring money. It has no funds with Signature Bank at the moment.
After it was successful in establishing a name for TrueCurrencies, Archblock was established in 2017 under the name "TrustToken" (TUSD). TrustToken decided in September 2022 to concentrate on the development of DeFi products for companies and financial institutions under the new brand name of Archblock.
According to Alex de Lorraine, chief operating and finance officer of Archblock, the decision to transfer money to Capital Union in recent days was brought on by deteriorating banking conditions for money businesses dealing in electronics in the US.
As previously noted, US regulators forced the closure or voluntary dissolution of Silvergate Bank, Silicon Valley Bank, and Signature Bank this month. In an effort to safeguard their assets and enable consumer money transfers, many digital asset companies are now in a precarious position.
Following the disclosure that it had deposited $3.3 billion in Silicon Valley Bank, Circle Internet Finance Ltd. witnessed the greatest dollar value loss in the history of its USDC token.
Prior to that, Capital Union also collaborated with Tether, a cryptocurrency whose primary cash reserves are kept in Bahamas-based banks. Customers can deposit and trade digital assets in the same account as fiat money or other assets at the well-known crypto business partner, Capital Union Bank.
The decentralized lending technology TrueFi's governance token, TRU, has increased by more than 200% recently. This was spurred by a flood of rumors regarding Binance stablecoins.
The largest cryptocurrency exchange in the world, Binance, created $50 million worth of the stablecoin TrueUSD (TUSD). After the regulatory crackdown on Binance USD (BUSD) issued by Paxos, the event has led to discussion among cryptocurrency investors about TUSD possibly playing a larger role in trading on the Binance exchange.
For many investors, it is necessary to clarify that this FOMO token TRU. TRU and TUSD are distinct. In particular, TrustToken, the company that created TrueUSd and TRU, split them off in the past.
As a result, TRU's price immediately reached its previous level. The token is currently being traded for $0.97.