Nikolas Sargeant
Digital asset custodian Hex Trust Group, with billions in assets under custody, announced on Tuesday, May 21st, that it has launched the first native stablecoin on the Flare network.
In a press release obtained by Cryptowisser, the team said the 1:1 U.S. dollar referencing USDX is launching with a dedicated Clearpool vault that enables holders to earn a real-world yield.
The stablecoin was developed by HT Digital Assets, Hex Trust's tokenization ecosystem, and it is set to provide a vital DeFi primitive on Flare, with backing maintained at a steadfast 1:1 ratio against the U.S. dollar or equivalently valued assets.
The team explained that the reserve primarily consists of 1-3 month T-Bills, which are securely held by regulated tier-1 financial institutions, ensuring that holders can place their trust in the value and resilience of the stablecoin.
The USDX stablecoin will serve as a building block for the emerging DeFi and bridging ecosystem on Flare. Furthermore, USDX will be used in apps including lending and borrowing protocols or perpetual futures exchanges. The stablecoin can also be staked to a dedicated T-Pool, created by Clearpool to offer real-world yield.
Users can stake and unstake the stablecoin at any time without lock-up periods. Thus, maximizing returns through both the base yield and bonus FLR incentives. Staking this stablecoin on Clearpool returns cUSDX, which can be used as collateral in Flare Labs’ FAsset system.
While commenting on this launch, Hugo Philion, Co-Founder of Flare said,
"Stablecoins are fundamental for the development of a vibrant DeFi ecosystem. The collaboration between USDX and Clearpool on Flare delivers a 1:1 backed stable asset with immediate access to real-world yield. This will be particularly useful for FAsset agents, putting their stable collateral to work even while it's locked in the system.”
Alessio Quaglini, CEO & Co-Founder of Hex Trust also commented that,
“The launch of Hex Trust's first native stablecoin, USDX, on the Flare network, in collaboration with Clearpool, marks a pivotal evolution in stablecoins. Powered by Hex Trust's tokenization ecosystem, HT Digital Assets, USDX bridges the gap between traditional financial security and blockchain innovation. It promises to reduce cryptocurrency market volatility, streamline transactions, and enhance trust and security within the digital asset ecosystem.”
Jakob Kronbichler, CEO & Co-founder of Clearpool added,
“Clearpool is the leading borrowing and lending dapp active on the top EVM-compatible chains. Launching a custom T-Pool for USDX on Flare is great for both everyday users who want to earn a real-world yield from their stable holdings, and for FAssets agents who can earn additional yield for their USDX while it's collateralized in the system.”
USDX is expected to mitigate crypto market volatility, streamline transactions, and enhance the overall security and trust in the digital asset ecosystem. The stablecoin’s utility will grow as more Flare-based projects adopt it, providing new opportunities for users to generate a return on their digital assets.
Established in 2018, Hex Trust is a fully licensed digital asset custodian dedicated to providing services for protocols, foundations, financial institutions, and the web3 ecosystem. It provides access to custody, DeFi, brokerage, and other services built on regulated infrastructure.
Clearpool is the leading decentralized finance credit marketplace backed by leading investors, including Sequoia Capital, HashKey Capital, Arrington Capital, and many others.
Finally, Flare is the blockchain for data: an EVM smart contract platform specifically designed to support data intensive use cases, including Machine Learning/AI, RWA tokenization, gaming and social. With decentralized, enshrined oracles secured at the network layer, Flare is the only smart contract platform optimized for decentralized data acquisition: price & time series data, blockchain event & state data, and web2 API data.
