Gemini Dollar (GUSD) Enters Stablecoin Partnership with Security Token Platform Harbor

Gemini Dollar (GUSD) Enters Stablecoin Partnership with Security Token Platform Harbor

As of April 30th 2019, Gemini has formed an exclusive partnership with all-in-one tokenization platform Harbor. Users of Harbor’s security tokenization platform will now be able to invest in deals using Gemini’s stablecoin— Gemini Dollar (GUSD).

Harbor’s Partnership with Gemini for the GUSD Stablecoin Explained

GUSD is a stablecoin produced by the Gemini Exchange and its founders Tyler and Cameron Winklevoss. The Gemini Dollar is backed by USD at a 1:1 ratio.

Harbor is a US-based platform which integrates traditional financial securities with the benefits of Distributed Ledger Technology (DLT). The result of such an integration has been the Security Token Offering (STO).

Now, under the new partnership, investors wishing to invest in security tokens on Harbor’s platform can do so with GUSD. The future distribution of funds or dividends can also be received in GUSD.

According to Harbor CEO Josh Stein, regulatory compliance was a primary reason for their partnership involving GUSD:

The Gemini dollar is a natural fit for Harbor given Gemini’s regulatory oversight and our shared institutional approach to the digital asset market. Through integrating with the Gemini dollar, Harbor has created a fully-compliant solution to investing in digital securities offerings and receiving distributions.”

Gemini CEO Tyler Winklevoss also commented on the announcement, describing the highly anticipated potential seen in security tokens.

“Stablecoins like the Gemini dollar bring U.S. dollars onto the blockchain, while Harbor brings private investments onto the blockchain. The combination of the two has the potential to bring unprecedented access, liquidity, and capital formation to private investments and tremendous benefits to investors.”

Some anticipate the benefits of security tokens to lead to the tokenization of the entire traditional financial securities sector, valued at $544 trillion.

Real-world assets to include stocks, real estate, investment funds, and fine art are all becoming tokenized in a compliant manner.

Stein has even said that professional sports teams have “expressed interest” in tokenizing team ownership.

What do you think of the partnership between Harbor and Gemini? Will the integration of stablecoins result in a greater implementation of security tokens? Let us know what you think in the comments section below.

Image courtesy of Medium.

Cookies & Privacy

The Tokenist uses cookies to provide you with a great experience and enables you to enjoy all the functionality of the site.