Crypto Exchange Coinsquare Launches Canadian Dollar (CAD) Backed Stablecoin

One of the top exchanges in Canada is in the crypto news today for launching a stablecoin backed by the Canadian dollar (CAD). We are talking abut Coinsquare and its recent launch of the stablecoin dubbed eCAD, according to a press release that was published on April 4.

The new altcoin will apparently be backed at a 1:1 ratio with Canadian dollars. According to Coinsquare, it will also be a reliable and stable store of value that provides investors with an alternative to similar altcoin tokens backed by the US dollar. As the CEO of Coinsquare Cole Diamond said:

“We are thrilled to announce the first step of our plan to bring stability and opportunity to the Canadian cryptocurrency market. The launch of eCAD will create the first transparent, affordable, and secure way of transferring value in Canada and beyond, without the risk of instability in the traditional cryptocurrency market.”

Coinsquare’s eCAD will be a CAD-backed stablecoin which will provide the Canadian and global markets with the stability of the Canadian dollar and the benefits of a digital currency. As a result, Coinsquare will offer a transparent and reliable asset which can be used by global investors as a store and transfer of value and an alternative to many USD-backed stablecoins.

There was no timeline for when the coin will officially be released in the announcement. However, stablecoins are still seen by some as the bridge between the crypto sphere and traditional investors mostly because of the backing of a currency by a physical commodity or algorithm – seen as something that can provide more stability than “unpegged” cryptocurrencies.

So far, the crypto community has stressed the importance of audits for stablecoin projects, mostly because some stablecoins have been suspected of not possessing the right backing reserves.

Founded in 2014, Coinsquare is one of the largest cryptocurrency platforms for trading Bitcoin, Ethereum as well as other cryptocurrencies.