Phillip Potter, co-founder of Tether (USDT) and former Chief Strategy Officer of affiliate crypto exchange Bitfinex, has joined the advisory board of a new stablecoin clearing house project, Stablehouse.io. The news was shared with Cointelegraph in a press release on Feb. 5.
Stablehouse.io, currently under development by crypto finance company XBTO, aims to act as a central clearing counterparty (CCP) for stablecoins — a type of crypto asset designed to experience less price volatility, either by being notionally fiat-collateralized or via an algorithmic peg.
The clearing house will charge investors a fixed fee in exchange for acting as a centralized entity that facilitates the exchange and transactions of USDT, GUSD, PAX, TUSD, USDC and DAI stablecoins, with other assets reportedly to be added in future.
XBTO founder and CEO Philippe Bekhazi is set to serve as interim CEO for the new project. Alongside Potter, the Stablehouse.io advisory board includes Samson Mow — CSO at Blockstream — and David Namdar, founding partner of Galaxy Digital (which he has since left) and SolidX Partners.
Stablehouse.io is initially to be headquartered in Bermuda, and the venture is reportedly seeking to secure a digital asset business license from the Bermuda Monetary Authority for its operations.
A host of new stablecoins entered the crypto space last year — with many top exchanges stepping up support for the tokens, and high-profile industry leaders affirming their belief that the burgeoning asset class will play an integral role in an emerging tokenized global economy.
Potter’s expertise derives from two of the most stalwart — if controversial — companies in the field.
Both Bitfinex and Tether — which share a CEO — received subpoenas from United States regulators for undisclosed reasons back in December 2017, which commentators related to insistent doubt over Tether’s claims that USDT is backed 1:1 by the U.S. dollar.
Suspicions were further fanned by Tether’s decision to dissolve its relationship with a third-party auditor last January, with Tether subsequently releasing an unofficial audit in an attempt to assuage concerns. Tether has also faced banking difficulties, and both firms have been subject to an investigation into alleged market manipulation by the U.S. Department of Justice.
Bitfinex has faced its own independent share of controversies as well as trials with banking relationships in recent years, and was prompted to refute rumors of insolvency in October 2018.