The latest stablecoin solutions have raised over $240 million in funding, says recent research conducted by Diar.
Basis, backed by Andreessen Horowitz, Bain Capital Ventures, Pantera, DCG, Polychain, MetaStable, 1confirmation and Naval Ravikant, tops the list of 13 projects with $133 million in venture capital raised.
Seven of the stablecoins are built on the Ethereum blockchain. They include Basis, nUSD, TrueUSD, MakerDAO, Fragments, StableUSD and Circle USD.
Andreessen Horowitz, Pantera Capital, and Digital Currency Group make multiple entries in the report, with each VC making investments in three separate stablecoin projects.
The report says that Tether is the most price-stable of the current stablecoins and after it, comes Dai and True USD.
Tether is the most controversial stablecoin
On the other hand, at the same time, Tether is the most controversial of them all.
There have been a few reports that challenged Tether’s claims that the coin is backed by the US dollar 1:1.
There are also reports that alleged that Tether has been used to manipulate the price of Bitcoin.
“I have long suspected that in the event Tether and Bitfinex has the money they claim to have, we’d have to inspect the order of the transactions to ensure they were not running pump and dumps with fake money,” posted a Medium blogger back in February.
“Under that scenario, they would print hundreds of millions of Tethers, buy Bitcoins, transfer the bitcoins to say, GDAX… then once they pumped it up enough… liquidate the bitcoins and then funnel the money back to their bank. ‘See! The money is all there!’”
The law firm concluded that the company’s balances showed more than the dollar value of all Tether coins in circulation that specific day, there has been no independent audit that has been released to date.
The quarter million dollars in venture capital that have been raised for stablecoin prove that the quest for a perfect stablecoin is far from being over.
You can check out Diar reports for more information.