Share this article
TrueUSD Stablecoin Has $26k of Funds at ‘U.S. Depository Halting Withdrawals,’ Reserve Report Says
The stablecoin issuer said last week that it had “no exposure” to the failed crypto custodian Prime Trust.
Updated Jun 28, 2023, 5:08 p.m. Published Jun 27, 2023, 6:44 p.m.
TrueUSD (TUSD) stablecoin had a small amount of funds at a U.S. depository institution that was ordered to halt withdrawals, according to the token’s reserve report.
Attestation provider The Network Firm’s examination revealed on June 23 that $26,434 worth of TUSD backing assets “were held at a U.S. depository institution which has communicated to customers that the institution has been ordered by state regulators to halt deposits and withdrawals for fiat and digital asset accounts.” It added that $26,269 of the funds “relate to customer withdrawals for redeemed tokens.”
STORY CONTINUES BELOW
Don't miss another story.Subscribe to the Crypto Daybook Americas Newsletter today. See all newsletters
A TrueUSD spokesperson said that the particular balance relates to fund withdrawal by users for redeemed coins – burned coins that no longer belong in TUSD circulation – so it is not TUSD asset by legal or token definition.
The Network Firm didn’t specify the U.S. institutions where the funds were held.
TUSD issuer previously said that it had “no exposure” to the imploded crypto custodian Prime Trust, which acted as the stablecoin’s banking partner in the U.S. The issuer tweeted it paused minting tokens via Prime Trust on June 10, adding that “minting and redemptions services remain unaffected” through other banking rails.
Prime Trust halted withdrawals and was ordered by Nevada state regulators to cease operations on Thursday due to a “shortfall in customer funds,” CoinDesk reported. The regulator subsequently said on Tuesday that it filed to take over the custodian and freeze all of its businesses.
PrimeTrust has suspended all deposits of fiat and digital assets. #TrueUSD (#TUSD) is not affected by this situation. We have no exposure to Prime Trust and maintain multiple USD rails for minting and redemption. Rest assured, all your funds are safe with TUSD.
— TrueUSD (@tusdio) June 22, 2023
TUSD is the fifth largest dollar-pegged stablecoin with a $3.1 billion market capitalization, and a key piece of infrastructure for crypto market liquidity as the new favored stablecoin trading pair on crypto exchange Binance. The token’s intellectual property was acquired by a little-known Asian investor called Techteryx, while Archblock acts as an agent to manage the stablecoin.
UPDATE (Jun. 28, 17:03): Adds comment from TrueUSD spokesperson.
More For You
What to know:
- As of October 2025, GoPlus has generated $4.7M in total revenue across its product lines. The GoPlus App is the primary revenue driver, contributing $2.5M (approx. 53%), followed by the SafeToken Protocol at $1.7M.
- GoPlus Intelligence's Token Security API averaged 717 million monthly calls year-to-date in 2025 , with a peak of nearly 1 billion calls in February 2025. Total blockchain-level requests, including transaction simulations, averaged an additional 350 million per month.
- Since its January 2025 launch , the $GPS token has registered over $5B in total spot volume and $10B in derivatives volume in 2025. Monthly spot volume peaked in March 2025 at over $1.1B , while derivatives volume peaked the same month at over $4B.
More For You
Cascade Unveils 24/7 Neo-Brokerage Offering Perpetuals on Cryptos, U.S. Stocks
The platform will let retail traders use one margin account to trade round-the-clock perpetual markets.
What to know:
- Cascade has introduced a 24/7 brokerage-style app for perpetual markets spanning crypto, U.S. equities and private-asset exposure.
- The firm is pitching a single, unified margin account with direct-to-bank U.S. dollar capability for deposits and withdrawals.
- The company has raised $15 million from investors including Polychain Capital, Variant and Coinbase Ventures.
Top Stories
