Investing.com – Hong Kong-based Hex Trust Group has launched a native decentralized stablecoin USDX on the Flare blockchain.

Backed 1:1 by the US dollar, USDX serves as a primitive DeFi on Flare, with reserves held primarily in 1-3 month treasury bills by regulated Tier 1 financial institutions.

Developed by HT Digital Assets, the Hex Trust tokenization ecosystem, USDX serves as a building block for DeFi and bridge applications on Flare. These include lending and borrowing protocols, perpetual futures exchanges, and staking opportunities.

USDX holders can earn real-world earnings by staking their tokens in a dedicated T-pool created by DeFi lending marketplace Clearpool.

“Stablecoins are fundamental to developing a vibrant DeFi ecosystem. The collaboration between USDX and Clearpool on Flare provides a stable 1:1 collateralized asset with immediate access to real profits,” said Flare co-founder Hugo Philion.

Alessio Quaglini, CEO and co-founder of Hex Trust, added: “The launch of Hex Trust’s first native stablecoin, USDX, on the Flare network, in partnership with Clearpool, marks a key evolution of stablecoins. Powered by the Hex Trust, HT Digital Assets tokenization ecosystem, USDX bridges the gap between traditional financial security and blockchain innovation.”

The launch of USDX is said to ease cryptocurrency market volatility, streamline transactions, and enhance security and trust in the digital asset ecosystem. As Flare-based projects grow in popularity, USDX will offer users recent opportunities to generate returns on digital assets.

Unlike centralized stablecoins such as USDC and USDT, which are backed by real-world cash or cash equivalents, decentralized stablecoins are backed by cryptocurrencies and often operate using algorithmic mechanisms.

Founded in 2018, Hex Trust is a licensed digital asset custodian serving protocols, foundations, financial institutions and the web3 ecosystem. It offers custody, DeFi, brokerage and other services built on regulated infrastructure.

Clearpool CEO and co-founder Jakob Kronbichler noted: “The launch of Custom T-Pool for USDX on Flare is great both for regular users who want to get real income from their stable investments and for FAssets agents who can earn additional profit for their USDX when it is secured in the system.”