Cryptocurrencies have changed the way we pay, but they haven’t yet replaced the US dollar entirely. For example, each transaction with bitcoin or other cryptocurrencies requires enough processing power to be uneconomical in many situations. This is where the Gemini Dollar comes in; it’s an ERC20 token that allows you to trade, send, and receive payments just like any other cryptocurrency, but it’s backed by the US dollar so you can convert it back into fiat currency whenever you want to. Want to learn more about this game-changing crypto? Read on!
What is it?
Gemini dollar is a new type of cryptocurrency that allows users to send and receive payments in US dollars. Gemini dollar is built on the Ethereum blockchain and uses the ERC20 token standard. Gemini dollar is backed by actual US dollars held in reserve by the Gemini Trust Company, LLC. Gemini dollar is designed to be used as a stablecoin, meaning that its value will be pegged to the US dollar. The peg will be maintained through a mix of smart contracts and algorithmic mechanisms. Gemini dollar will be available for trading on the Gemini exchange starting on October 2018. Users can start depositing their US dollars with Gemini today, but won’t be able to withdraw them until after launch. There are no fees associated with making deposits or withdrawals of USD funds at this time. What makes it different from other cryptocurrencies?: Unlike other cryptocurrencies such as Bitcoin and Ether, Gemini dollar is pegged to the US dollar which means that 1USD = 1GD. What’s Next?: After waiting 3 months, customers will be able to use their USD holdings to buy bitcoin on the GDAX platform which has currently been renamed the Gemini market. Customers will also be able to deposit/withdraw USD from their accounts via bank wire transfers.
In addition, there are many benefits associated with owning Gemini dollar including the fact that they cannot be hacked because they’re 100% backed by U.S. dollars and that they cannot have any chargebacks because they can only move between two parties (e.g., Alice sends Bob some GD) who both know one another and trust each other. For example, if someone steals your Gemini account information and attempts to make an unauthorized transaction you would still have access to your money because your account balance would not change. Lastly, a major benefit of Gemini dollar is that the price is capped at $1 per coin unlike other cryptocurrencies like Bitcoin where prices fluctuate constantly.
How does it work?
Gemini dollar is a new type of cryptocurrency that allows users to send and receive payments in U.S. dollars. The Gemini dollar is pegged to the U.S. dollar, so one Gemini dollar always equals one U.S. dollar. Gemini dollars can be used to buy and sell goods and services just like regular U.S. dollars, but they can also be used to send and receive payments instantly and securely anywhere in the world. Gemini dollars are stored in a digital wallet, and they can be sent and received using a mobile app or online wallet. Because it’s backed by a real-world asset (the U.S. dollar), the Gemini dollar has all the benefits of any other legal tender, including fungibility and portability. Plus, transactions with Gemini dollars cost less than 1/100th of a penny per transaction! It doesn’t get much better than this when it comes to global trade. As I mentioned before, one Gemini dollar always equals one U.S. dollar because they’re both on the same blockchain network. That means you don’t have to worry about being scammed when you use your money at stores and restaurants because you’ll know how much things really cost every time you make a purchase. If we want our money to work for us, then we need an easy way to convert our money into something more useful–like cryptocurrencies–but without exposing ourselves unnecessarily to risk from fraudsters, hackers, scammers, or rogue nations trying to steal our funds for their own purposes. So why not invest in a coin that does everything for us? We don’t have to worry about storing a large sum of money somewhere else, and we can still use our currency to pay for goods and services as usual. By purchasing GUSDs, you’re investing in security measures that ensure you won’t lose access to your money should anything happen. And because these coins are pegged to the US dollar, they’ll never lose value either!
When will it be released?
The Gemini dollar is a stablecoin that combines the best of both traditional fiat currencies and cryptocurrencies. It will be released on the Gemini exchange on September 10, 2018. The stability of this coin comes from the fact that one U.S. dollar will always be deposited at a bank to back every Gemini dollar in circulation. There are three major differences between this cryptocurrency and others:
1) it can only be traded for other crypto or for USD,
2) it cannot be mined
3) transactions involving USD are instantaneous as opposed to Bitcoin’s 10-minute processing time limit (and fees). With so many new crypto coins being introduced into the market, there’s always some hesitation about which ones to trust. The Gemini dollar seems like a promising candidate for financial institutions and individuals alike. It looks to me like they’re setting themselves up as a trusted institution. said Chris Roos, who leads business development at blockchain startup Peculium. I’m not surprised they chose dollars because they’re going after institutional investors. While no one knows what lies ahead for this revolutionary new crypto, Gemini is planning ahead by working with Nasdaq Inc., and has received regulatory approval from the New York Department of Financial Services. We’ve been talking to lots of folks in banking, said Winklevoss.
Use of Gemini Dollar?
Gemini dollar is a cryptocurrency issued by the Gemini Trust Company, LLC, a US-based trust company regulated by the NYDFS. It is pegged to the US dollar and backed 1:1 by USD held in reserve. The gemini dollar is an ERC20 token on the Ethereum blockchain and can be used to send or receive value anywhere in the world. Gemini dollars can be used to purchase goods and services, or traded on exchanges for other cryptocurrencies. Gemini’s rules limit deposits of GUSD tokens to U.S. residents only, while anyone worldwide may buy and sell GUSD tokens through approved exchange platforms worldwide without restriction.