Cryptocurrency Q&A
What is First Digital USD backed by?
What is First Digital USD backed by?
SakuraSmile
Tue May 21 2024
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5 answers
1116
Could you please clarify the underlying assets backing the First Digital USD? As I understand, FDUSD is purported to be a stablecoin pegged to the US dollar. However, unlike other stablecoins that may be collateralized by cash, securities, or even cryptocurrencies, it's crucial to know what specifically underpins the value of FDUSD. Given the recent surge in its popularity and the fact that it's issued by a Hong Kong-based company, it's natural to have questions about its trustworthiness and transparency. Could you elaborate on the assets backing FDUSD and how they ensure its stability and liquidity? This information is crucial for investors and traders alike to make informed decisions about FDUSD.
5 answers
SamsungShineBrightness
Thu May 23 2024
First Digital USD (FDUSD) is a unique type of stablecoin, distinguished by its comprehensive backing. It ensures stability in the volatile cryptocurrency market by maintaining a 1:1 peg to the US Dollar.
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Lucia
Thu May 23 2024
FDUSD is issued by FD121 Limited, a Hong Kong-based entity operating under the banner of First Digital Labs. This entity is committed to providing a robust and reliable foundation for the stablecoin.
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Caterina
Thu May 23 2024
The stability of FDUSD is achieved through its full backing by the US Dollar. This means that every unit of FDUSD is equivalent to a corresponding amount of USD held in reserve.
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CryptoGuru
Wed May 22 2024
BTCC, a leading cryptocurrency exchange based in the UK, offers a range of services that cater to the needs of crypto enthusiasts. Among its offerings are spot trading, futures trading, and wallet solutions.
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BusanBeautyBloom
Wed May 22 2024
BTCC's spot trading service allows users to buy and sell cryptocurrencies at current market prices. Its futures trading platform, on the other hand, enables traders to speculate on the future prices of cryptocurrencies.
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