Quantoz USDQ (USDQ): a cryptocurrency under MiCA rules in the European Union
After the Markets in Crypto-Assets (MiCA) bill came into force in the summer of 2024, some major stablecoins, such as Tether (USDT) and Pax Dollar (USDP), left the European Economic Area.
However, new stablecoins came in their place, issued in full compliance with the new MiCA regulatory rules. One such stablecoin is Quantoz USDQ (USDQ).
What is Quantoz USDQ (USDQ)?
Quantoz USDQ (USDQ) is a stablecoin issued at the end of 2024 and pegged to the US dollar at a 1:1 ratio. USDQ is among the few stablecoins approved for use within the European Union.
The issuer of USDQ is Quantoz Payments, a Dutch fintech company founded in 2015 that issues stablecoins backed by national currencies such as the US dollar and the euro. In addition to USDQ, Quantoz Payments has also issued EURD and EURQ, stablecoins pegged to the euro.
Quantoz Payments holds an EMI (electronic money institution) license from the Dutch Bank and the Central Bank of the Netherlands, which allows the company to issue digital assets that can be legally used within the European Economic Area. The company has received funding from well-known players in the cryptocurrency industry, including the Kraken crypto exchange and the issuer of the leading stablecoin, USDT, Tether.
The stablecoin Quantoz USDQ is not only pegged to the US dollar but is also supported by verified reserves that are more than 100% backed by real currency and government bonds. USDQ currency reserves are held in the Stitching Quantoz fund, which is protected against bankruptcy, providing legal protection to holders of this stablecoin, for example, in the event of a loss of parity* with the US dollar.
* Loss of parity occurs when the exchange rate of a stablecoin deviates significantly from the value of the currency to which it is pegged, potentially leading to financial losses for holders.
About the USDQ token (a digital asset on the blockchain)
The USDQ token (a digital asset on the blockchain) was issued in November 2024 on the Ethereum blockchain in accordance with the ERC-20 standard. Like most other stablecoins, USDQ does not have its own blockchain and is issued via a smart contract (a self-executing agreement on the blockchain) on the Ethereum network.
However, it should be noted that USDQ is a regulated asset whose smart contract is centrally managed by its issuer. This means that, in some cases, the issuing company may unilaterally restrict certain operations involving Quantoz USDQ stablecoins, such as sending or exchanging them.
The USDQ stablecoin has several use cases:
- Cross-border payments, including settlements: the ability to transfer any amounts anywhere in the world with low fees;
- Using USDQ as collateral, for example, to provide security for a loan and obtain financing;
- Salary payments to employees, including direct payments and business payments;
- Aggregation and redistribution of payments, as well as expense accounting and control, including for business;
- Micropayments;
- Trading in pairs with various digital assets such as Bitcoin and Ethereum, as well as exchanging for other stablecoins.
- Access to a wide range of services through decentralized finance protocols, including lending, liquidity mining, and interest-bearing on-chain deposits.
Where to buy and store USDQ?
To use and store USDQ stablecoins, any cryptocurrency wallet compatible with Ethereum and supporting ERC-20 tokens will be suitable. Such wallets are available on both mobile and desktop devices. There are also hardware wallets for secure cold storage of Quantoz.
USDQ stablecoins can be obtained in several ways:
- Directly from the company (available only to EU residents);
- Through a trading platform or exchange, including a decentralized one;
- On over-the-counter markets;
- With the help of exchangers, for example, through the BestChange aggregator.
To purchase USDQ on traditional centralized cryptocurrency exchanges, a verified account will be required; however, registration on such platforms is not available in all jurisdictions. These restrictions do not apply to decentralized exchanges, where the purchase of USDQ is available using other digital assets and a suitable cryptocurrency wallet, depending on the available liquidity pools.