What Is the Gemini Dollar and How to Buy It? – The Capital

GUSD is an ERC-20 crypto developed by the Gemini Trust Company — a New York-based trust overseen by the Department of Financial Services. GUSD is a USD-pegged stablecoin: a single Gemini Dollar is equivalent to the USD at a 1:1 ratio and offers little to no fluctuation in price. Gemini holds the funds that back their crypto in a State Street bank and have had their product insured by FDIC.

With the project compliant to the stringent demands of the NYDFS, the trust has to be audited by an unaffiliated third party. The initial audit was concluded by Trail of Bits, a company that does security research and penetration testing, with the report publicly listed on the Gemini’s official site. The report shows that neither the coin or the system itself has any weaknesses that could potentially expose users’ assets to attacks.

Gemini currently works with BPM — an accounting and consulting firm — for more regular audits.

Pros:

  • GUSD’s reliability and undisputed security is what sets it apart from other similar tokens — like Tether or Pax;

Cons:

  • Interacting with GUSD requires proving your identity and passing certain KYC procedures;

Users looking to buy GUSD need to open up an account on the Gemini website. During registration, users can enable two-factor identification, which adds security to the account. After that,…

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