Former Coinbase Execs Launch Exchange, Adopts PayPal’s PYUSD

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As a seasoned crypto investor with a knack for spotting promising ventures, I find the launch of TrueX by ex-Coinbase executives Vishal Gupta and Patrick McCreary an intriguing development. Their extensive experience at Coinbase, coupled with their tenure at Goldman Sachs, positions them well to revolutionize the stablecoin market.

Previously employed by Coinbase, Vishal Gupta and Patrick McCreary have founded a new exchange, named TrueX, that concentrates on stablecoins. Instead of opting for the USDC stablecoin, which Gupta assisted in developing during his tenure at Coinbase, they have chosen PayPal’s PYUSD for their operations as a preliminary step.

Ex-Coinbase Executives Launch Crypto Exchange

At the current Token2049 conference in Singapore, Gupta and McCreary unveiled the launch of their new cryptocurrency exchange, TrueX. On his X platform, Gupta shared that TrueX will be a groundbreaking, non-custodial, stablecoin-focused exchange, poised to reshape the crypto market landscape. This crypto exchange is the premier product from True Markets, an innovative platform aiming to provide global markets and liquidity as a service.

On TrueX, a system will be in place for matching trades, aiding in the determination of prices and connecting buy and sell requests. It’s important to note that TrueX itself won’t hold any of the assets being traded. Instead, it will guarantee smooth transaction execution by utilizing stablecoins as the medium of exchange.

Previously, I’ve been associated with Coinbase as both Gupta (the head of the exchange) and McCreary (a senior staff engineer at the crypto exchange). Prior to our tenure at Coinbase, we also gained valuable experience at Goldman Sachs. With this extensive background, I am confident that Gupta and I are well-equipped for this new venture, leveraging our past experiences to drive its success.

It’s worth noting that although Anuj Gupta played a role in the creation of USDC stablecoin, he opted for PayPal’s PYUSD as the preferred choice for trading stablecoins on their platform. The Paxos Trust Company, which is responsible for issuing PYUSD, will act as a third-party custodian for TrueX in this case.

It’s noteworthy to point out that the Stablecoin issuer has contributed to the exchange as well. They participated in the initial funding round for the platform, which successfully raised $9 million. Furthermore, this exchange is supported by venture capital firms such as Hack VC and RRE Ventures.

TrueX’s debut comes after Mark Karpeles, the previous CEO of Mt. Gox, disclosed intentions for a new cryptocurrency exchange, EllipX. But unlike TrueX catering primarily to American users, EllipX is slated to operate from Europe.

A Major Boost For PYUSD

Launching TrueX by former Coinbase workers might significantly enhance PayPal’s PYUSD standing, given that it is now the fifth-largest stablecoin with a market capitalization of $733 million. Nevertheless, it lags behind the leading stablecoins USDT and USDC, which currently hold market caps of $118 billion and $35 billion respectively.

The use of USDC, a stablecoin issued by Circle, is rapidly increasing due to Circle’s expansion into Brazil and Mexico. In these countries, USDC can now be accessed through local bank transfers and real-time payment systems, marking a significant milestone for the stablecoin as it has successfully integrated into two of the largest economies in Latin America.

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2024-09-18 16:38