Tether founder Reeve Collins to launch revenue generating stablecoin project Pi Protocol

According to Bloomberg, Reeve Collins, co-founder of stablecoin issuing company Tether, is developing a new stablecoin project called Pi Protocol that will enable stablecoin minters to generate revenue. The project is expected to be launched on Ethereum and Solana memory blockchain in the second half of this year or earlier.

Pi will use smart contracts to mint USP stablecoins. As a reward, the caster will receive another token called USI as income. The stablecoin will be supported by real assets with returns, such as bonds.

Reeve Collins Co founded the predecessor of the stablecoin USDT with Brock Pierce and Craig Sellars, and served as the first CEO of Tether from 2013 to 2015. Later, Collins and his partners sold Tether to the operator of the cryptocurrency exchange Bitfinex. At that time, the market value of USDT was less than $1 billion, but it has now reached $142 billion. Now, Collins is the co-founder and chairman of Pi Protocol.

Pi Protocol The idea is to enable industry participants promoting stablecoins to obtain the majority of profits from it, which is different from Tether's model. Collins stated in the interview:

We view Pi Protocol as an evolution of stablecoins, and Tether has been very successful in demonstrating the market demand for stablecoins, but they have retained all the profits. We believe that in ten years, the market is ready to embrace change

Pi Protocol seeks to leverage not only the rapid growth of stablecoins, but also the trend towards tokenization of real assets (RWAs). According to the white paper of the project, Pi's smart contract will evaluate the value of collateral and implement an excess guarantee ratio.

Pi It will be controlled by the governance token USPi, and holders will receive a portion of the protocol's revenue, including the earnings from minting stablecoins on the platform. USPi Holders can also participate in voting, such as setting risk parameters, adjusting collateral policies, and distributing agreement income. The team and consultants of this project own 25% of the USPi supply, and the pre-sale of this governance token is currently underway.