Editor's Note: This article covers the strategic partnership between OK Group and Prime Trust to develop a new stablecoin ecosystem.
Strategic Investment Announcement
Prime Trust, a Nevada-chartered blockchain trust company, announced on its official website that OK Group has completed a strategic investment. The collaboration will focus on launching OKUSD, a USD-pegged stablecoin built on OKChain—OK Group's public blockchain currently in final development stages (testnet planned for June release).
About Prime Trust
Prime Trust is a regulated U.S. blockchain trust company offering:
- Digital asset custody
- Transaction technology solutions
- AML/KYC compliance services
- Fund processing
Notable custody clients include:
| Blockchain Project | Service Provided |
|---|---|
| Stellar (XLM) | Asset custody |
| IBM Stronghold USD | Stablecoin custody |
| TrueUSD (TUSD) | Stablecoin custody |
Why Crypto Needs Regulated Custody
Traditional stablecoins like USDT face transparency issues—claims of dollar reserves lack independent verification. For example, October 2018 saw USDT drop to $0.93 amid reserve concerns. Prime Trust's auditable custody solutions provide:
- Real-time reserve tracking
- Fraud prevention measures
- Emergency fund freezing capabilities
OK Group's Global Compliance Strategy
This investment follows OK Group's January acquisition of a controlling stake in Advance Holdings Group (01499.HK). Founder Star Xu emphasized:
"Our partnership with Prime Trust delivers secure, compliant services while leveraging synergies between our platforms."
Xu had previously hinted at the stablecoin launch in a March 19 tweet that boosted OKB token prices by 20%:
"Stablecoins represent blockchain's most vital application—we're thrilled to soon introduce OKUSD."
Industry Context
- Huobi: Plans 2019 stablecoin per its roadmap (Cointelegraph report)
- IBM: Launched Stronghold USD last year
FAQ Section
Q: How does OKUSD differ from USDT?
A: OKUSD will use Prime Trust's transparent custody model, unlike USDT's opaque reserves.
Q: When will OKChain launch?
A: The testnet is scheduled for June, with mainnet timing pending further announcements.
Q: Why partner with Prime Trust?
A: Their regulatory compliance aligns with OK Group's global expansion goals. 👉 Learn more about blockchain custody solutions
Q: Will OKUSD face government scrutiny?
A: Yes—all USD-pegged stablecoins must comply with U.S. financial regulations.