Cryptocurrency startup Stably raises more cash, eyes growth amid pandemic – GeekWire

Seattle startup Stably has raised another $1 million to fuel growth of its asset-backed stablecoins, a form of cryptocurrency that is pegged to a fiat currency such as the U.S. dollar and allows prices to remain more stable compared to other options.

Stably has developed its own stablecoin called Stably USD (USDS). When a user gives Stably $1 to buy its cryptocurrency, it mints one of its digital tokens. If someone gives Stably back that 1 USDS, it removes the coin from circulation and returns $1 from its cash reserve.

It’s an alternative to more volatile cryptocurrencies such as bitcoin, which lost about half its value as the COVID-19 outbreak spread across the world, but has recovered over the past month-and-a-half.

The idea is to provide benefits of cryptocurrency — fast transaction speed; anonymity; etc. — with less fluctuation in value.

USDS is the 7th-largest USD-backed stablecoin and is featured on cryptocurrency…