Tether, a token currency provider, now offers tokenized USD on the Ethereum Network. What this means is that the users can turn their dollars into tokens, making the exchange less complex. In partnership with the Ethereum company Ethfinex, Tether has announced the launch of ERC20 compliant Tether tokens on September 11th. This allows tokenized USD to be exchanged on the Ethereum network, cutting the delays experienced by it’s users.
Craig Sellars, Co-founder of Tether, says:
Following the success of our widely used US Dollar tokenisation on the Bitcoin blockchain, this latest version enables interoperability with Ethereum-based protocols and DApps. We believe this new development will reduce the current interbank delays often involved in exchange withdrawal and allow our users access to tokenized USD – a first for the industry.
Simplifying Crypto Using the Ethereum Network
After depositing their US dollars, Tether users will see their money converted into a digital currency known as “Tether,” symbolized as “₮.” Tether will possess a symbol which represents the asset, which can then be traded or transferred as an ERC20 token. In the future, euro and yen currency support is highly possible.
Shortly after the announcement, TokenCard revealed it will begin supporting Tether, allowing users to use their tokenized currency just as they would use traditional money with a Token debit card. Project Lead at Ethfinex, Will Harborne, said:
The number of tokens and assets being tokenized on top of the Ethereum platform is growing rapidly, with many proving disruptive to traditional business models. By enabling all ERC20 compatible applications and protocols to integrate tokenized USD, we expect to see enhanced efficiency and further stability on the Ethereum network.
Cryptocurrencies are viewed as too troublesome or too unpredictable to enjoy mainstream popularity, but Tether is a game changer. Ethfinex stated a key part of this new partnership meant developing currencies that could easily be used in everyday scenarios, such as paying bills or salaries. If companies like Tether, Ethfinex, and Ethereum manage to achieve what they are planning to achieve, the way we use money could be changed forever.