PayPal’s PYUSD Stablecoin Used in New Trading Platform

PayPal’s PYUSD stablecoin has been selected as the default settlement currency for TrueX, a new crypto trading platform that launched out of stealth on Wednesday. TrueX was founded by Vishal Gupta, former head of exchange at Coinbase, and Patrick McCreary, an engineer from the same company.

The platform, developed by True Markets, is set to launch its trading functionality in the upcoming weeks, starting with spot market trading for some of the largest cryptocurrencies. Transactions will be settled using PYUSD, which is currently the fourth largest stablecoin by market capitalization, following Tether’s USDT, Circle’s USDC, and MakerDAO’s DAI.

In the future, the platform aims to broaden its selection of stablecoin settlement options. Additional trading services are also in the pipeline, according to Gupta’s statements to Fortune.

TrueX will initially be available only to institutional investors in the United States. Unlike typical crypto exchanges like Coinbase and Kraken, which face scrutiny from the U.S. Securities and Exchange Commission for operating as unregistered brokers and custodians, TrueX will outsource its custodial responsibilities to Paxos, the issuer of the PYUSD stablecoin.

True Markets has successfully raised $9 million in a seed round from several investors, including RRE Ventures, Reciprocal Ventures, Hack VC, as well as Paxos, Solana Foundation, and Aptos.