THELOGICALINDIAN - The USDF Consortium hopes to absolution a adjustable cashredeemable stablecoin in the US
A accumulation of bristles U.S. banks in the U.S. has launched the USDF Consortium with the ambition of bringing a bank-minted stablecoin to the U.S.
U.S. Banks Launch Stablecoin Consortium
Centralized stablecoins like USDC and USDT ability anon accept added competition.
An affiliation of bristles FDIC-insured U.S. banking institutions has launched the “USDF Consortium” with the ambition of establishing a arrangement of banks and creating an interoperable stablecoin alleged the USDF. The founding associates of the affiliation accommodate the New York Community Bank, NBH Bank, FirstBank, Sterling National Bank, and Synovus Bank.
In a press release, the affiliation said that ablution the USDF would facilitate the “compliant transfer” of amount via blockchain technology, abolish “friction in the banking system,” and acquiesce for added bodies to adore the banking opportunities blockchain technology offers.
“USDF opens up amaranthine possibilities for the accretion apple of DeFi transactions,” Figure CEO Mike Cagney said. “The affluence and adjacency of application USDF for on-chain affairs was approved this abatement back NYCB minted USDF acclimated to achieve balance trades accomplished on Figure’s another trading systems. We are abundantly aflame that NYCB expects to be minting USDF on appeal and on a approved base in the advancing weeks.”
The USDF stablecoin will be minted by affiliate banks and redeemable for banknote from any coffer in the Consortium. It’s set to run on the Provenance Blockchain, which was congenital by the fintech close Figure Technologies, whose investors accommodate Digital Currency Group.
Regulatory acquiescence appears to be a above point of focus for the Consortium. The columnist absolution states that USDF “addresses the customer aegis and authoritative concerns” associated with decentralized stablecoins and “offers a added defended option” for application blockchains. Stablecoins accept been a above affair for regulators in the U.S. and common in contempo months; assorted associates of the Senate, Treasury Secretary Janet Yellen, Federal Reserve Chair Jerome Powell, SEC Chair Gary Gensler, and others accept warned adjoin the risks of stablecoins as the DeFi amplitude has grown.
Disclosure: At the time of writing, the columnist of this allotment endemic BTC, ETH, and several added cryptocurrencies.
