“Stablecoins are the new black,” according to a number of well-known commenters in the cryptocurrency world. And there’s a reason for that.

Whether it be Saga, SwissRealCoin, Havven, or a dozen other candidates, cryptocurrencies that are backed by real assets to help reduce volatility are becoming increasingly popular.

Enter TrueUSD, which not only has a stablecoin, but has been putting it into action since launch. The result? After less than two months on the market, TrustToken — a platform that securitizes real-world assets and currencies using blockchains — has announced that its TUSD stablecoin has organically amassed over $12 million in circulation.

Stablecoins allows cryptocurrency traders to put their money into a non-volatile cryptocurrency. This gives them the benefits of an efficient store of value and cost-effective trading without the need to move cryptocurrency into and out of USD.

“TrustToken created TrueUSD to meet the strong demand we heard from traders to have a fully collateralized stablecoin,” TrustToken cofounder and CTO Rafael Cosman told me. “TrueUSD’s rise to over $12 million market cap in less than two months since its launch demonstrates the value of a price-stable cryptocurrency that is truly redeemable for USD.”

This is not just investors backing a good idea — it demonstrates the market validity of TrueUSD.

It’s also with noting that TrustToken is not an ICO-funded business. This company operates with traditional venture capital backing from investors such as Stanford-StartX, Founders Fund Angel, FJ Labs, and BlockTower Capital. The team is made up of alumni from Stanford, UC Berkeley, and Carnegie Mellon University and individuals formerly with Goldman Sachs, PayPal, and Google.

“Most of the early customers of TrueUSD have been institutional investors and individual traders,” Cosman said. “We see these partnerships with traders and exchanges as meaningful benchmarks of the opportunity ahead.”

TrueUSD is listed on Bittrex and Upbit.

So how does TrueUSD handle the current SEC regulatory stance on tokens?

“We see regulatory compliance as a key to sustainability,” Cosman said. “TrustToken takes statements from regulatory bodies very seriously and is committed to being in full compliance with the SEC. We are aware of SEC statements and, with the assistance of our legal counsel, stay updated with ongoing developments.”

That’s an ever-changing landscape as the SEC firms up its position on ICOs and cryptocurrencies. TrueUSD is working to ensure it starts on the right side of current legislation.

“Our legal counsel has taken the stance that TrueUSD is not a security because it does not provide any expectation of profits,” Cosman said. “Also, TUSD was not pre-sold to investors to fund its creation. With analysis from outside legal counsel, we have been advised that we are taking the proper precautions to stay in line with the current regulatory landscape.”

What’s next for TrustToken?

“We’ve been fortunate to receive significant inbound interest from major cryptocurrency exchanges that want to list TUSD,” Cosman said. “We’re preparing for even more investors to be able to purchase, redeem, and trade TrueUSD. Given the positive reception from the market so far, we’re also exploring the tokenization of additional currencies, such as TrueEuro or TrueYen. Additionally, we are continuing the development of the TrustToken tokenization platform.”

So will stablecoins usurp existing cryptocurrencies, like Bitcoin, or live alongside them?

“Stablecoins like TrustToken’s TrueUSD are an important part of taking cryptocurrencies mainstream,” Cosman said. “Why? Stablecoins enable people to buy, sell, and make longer-term financial contracts with a price-stable medium of exchange. Stablecoins are complementary to existing cryptocurrencies and will promote the long-term sustainability of the cryptocurrency industry.”