Opening the Door to Open Finance

We’re happy to announce that Zengo now supports the Ethereum ERC-20 token standard. 

The first batch of supported assets includes several major stablecoins: multi-collateral Dai (DAI), USD Coin (USDC), Tether (USDT/ERC-20), and Paxos Standard (PAX). We’re also supporting Maker (MKR) even though it’s not a stablecoin because of its close relationship with Dai. 

Why ERC-20 tokens?

At Zengo, we believe in the future of open finance and the extension of modern financial services to anyone in the world with an internet connection. ERC-20 tokens have taken the lead in this space because they provide the robustness and security of the Ethereum blockchain while also being flexible enough to support smart contracts and innovative, decentralized financial services. 

Without giving away too much information (we have a lot of surprises coming), we plan on being valuable contributors to the open finance ecosystem and providing our customers with services built on top of these technologies. 

Why stablecoins?

In addition to being a cornerstone of open finance, stablecoins have several clear use cases that have made them one of the most popular asset types in crypto. Since most stablecoins are pegged to local currencies, they are perfect for transferring value without the risk of price fluctuations. In general, they are a great way to hedge against financial risk. 

Stablecoins also work well for crypto traders who prefer to exit positions into a stable asset without needing to completely withdraw their funds into fiat currency, pay the associated heavy conversion fees, and suffer the traditional delays. 

A less-widely adopted but equally interesting aspect of stablecoins is the ability to peg the price to additional assets like precious metals and other commodities. 

We are keeping an eye on this space and will be supporting more ERC-20 tokens and stablecoins of all kinds in the future. Stay tuned as we add more assets.

How do you get stablecoins in Zengo?

Each asset has its own address in the Zengo wallet. You can see asset addresses by pressing the Receive button on any asset. If you already hold stablecoins in a different wallet, you can simply send them to your Zengo address.

Don’t own any stablecoins? No problem! You can buy some with a credit card or Apple Pay from the Zengo app. And since you need ETH (“gas”) to pay the network fee for sending ERC-20 tokens, you can conveniently purchase ETH in the app as well. 

What else is new in Zengo?

We’re also introducing a convenient way to organize your wallet so you can see all the assets we support and keep your app nice and uncluttered. Just press the button on the top left of My Wallet and the list of assets will pop up. 

All these changes are available to Zengo customers starting today. Just update to v2.2 and enjoy!

Of course if you have any feedback, feel free to reach out to us from inside the app and we’ll get back to you in minutes. We love chatting with our customers 🙂