Commercial banks are apparently interested in stablecoins. In Australia, the National Australia Bank (NAB) has just announced the upcoming launch of a stablecoin on Ethereum and Algorand. Update on this innovative project, which could be imitated.
A major Australian bank will launch a stablecoin
This Australian dollar-backed stablecoin will allow users to settle transactions quickly using the blockchain. According to the Australian Financial Review, which reported the news, the launch is planned for this year, around summer. Two uses are highlighted in particular: the exchange of carbon credits and cross-border transfers.
The stablecoin – dubbed AUDN – will be backed by an equivalent number of Australian dollars held by the bank. Initially, the asset will be available on the Ethereum network, then on Algorand. For the bank, the interest is to offer a fast payment system, which has less volatility than other cryptocurrencies.
👉 To go further – Stablecoin, all about this type of cryptocurrency
The platform that simplifies trading
Buy crypto in minutes
Australian banks are turning to blockchain
The National Australia Bank is not the first major bank in Australia to have a stablecoin. Its rival Australia and New Zealand Banking Group (ANZ) already created an asset of this type last March. It must be said that the four largest banks in the country met at the beginning of last year to try to create a common stablecoin.
But the negotiations had not been successful, and as a result, these are now creating unique stablecoins. In any case, the use of the blockchain seems to be a milestone for National Australia Bank. In any case, this is what the head of innovation of the institution reports:
“We certainly think there are elements of blockchain technology who will be part of the future of finance.»
The word “stablecoin” is in any case in fashion, even though the crypto ecosystem has just experienced a particularly turbulent year. We thus learned at the beginning of the week that Iran and Russia wanted to create a common stablecoin backed by gold. Further proof that this type of asset is gradually finding its place on the international scene.
👉 Listen to this article and all other crypto news on Spotify
Cryptoast launches its 1st collection of NFTs
NFTs associated with a collector paper journal 🔥
Source: Australian Financial Review
Newsletter 🍞
Receive a summary of crypto news every Monday by email 👌
What you need to know about affiliate links. This page presents assets, products or services relating to investments. Some links in this article are affiliated. This means that if you buy a product or register on a site from this article, our partner pays us a commission. This allows us to continue to offer you original and useful content. There is no impact on you and you can even get a bonus by using our links.
Investments in cryptocurrencies are risky. Cryptoast is not responsible for the quality of the products or services presented on this page and could not be held responsible, directly or indirectly, for any damage or loss caused following the use of a good or service highlighted in this article. Investments related to crypto-assets are risky by nature, readers should do their own research before taking any action and only invest within the limits of their financial capabilities. This article does not constitute investment advice.
AMF recommendations. There is no guaranteed high return, a product with high return potential involves high risk. This risk-taking must be in line with your project, your investment horizon and your ability to lose part of this savings. Do not invest if you are not ready to lose all or part of your capital.
To go further, read our Financial Situation, Media Transparency and Legal Notices pages.
Journalist at Cryptoast, I fell into the pot of cryptocurrencies a few years ago. I am passionate about the innovative technologies that stem from the blockchain and I like to find the most crispy information to share with you.
Marine Debelloir
2264 items
