Stronghold launched USD Anchor, an FDIC-backed stablecoin running on Stellar with IBM partnership. The token is backed one-for-one by U.S. dollars held at Prime Trust and aims to enable institutional cross-border payments and financial transactions on blockchain.
Stronghold announced USD Anchor, a new stablecoin built on the Stellar blockchain and backed one-for-one by U.S. dollars held at Prime Trust, a Nevada-chartered trust company with FDIC insurance coverage. IBM is partnering on the initiative and plans to explore use cases with financial institution clients, starting with cross-border remittances and foreign exchange transactions. Unlike Tether, USD Anchor offers FDIC coverage up to $250,000 per deposit and full auditing through Prime Trust. IBM envisions a future network supporting multiple digital currencies (euros, pounds, dollars) settling on the same blockchain, potentially transforming foreign exchange markets. The stablecoin expands IBM's partnership with Stellar, which began in October with cross-border payment pilots in the South Pacific.