Main to remember
- Visa should join the USDG Stablecoin consortium as the first traditional financing company.
- The USDG aims to offer a shared return and to differentiate itself from competitors such as USDT and USDC.
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Visa will be part of the Global Dollar Network (USDG), a Stablecoin consortium established by Paxos, with the participation of crypto and fintech giants such as Robinhood, Kraken and Galaxy Digital, Coindesk reported on Monday, citing two people knowing the plans.
If he is confirmed, the payment giant will become the first tradfi player to support the initiative. Existing members of the consortium include Robinhood, Kraken, Galaxy Digital, the owner of Coindesk Haussiers, Digital Anchorage and the Nuvei payment platform.
Presented last November, the initiative focused on promoting the adoption of the stable reserve and the progress of its real applications.
The network uses the new Stablecoin of Paxos, the world dollar (USDG), which operates under the monetary authority of the Singapore regulatory framework (Mas). The DBS Bank, the largest bank in Southeast Asia, is the guardian and the banking partner, managing the reserves to ensure full support and on-demand redemptions.
The stablecoin was initially launched on Ethereum, with support for other stewed blockchains in Mas like Solana on the roadmap.
The USDG aims to differentiate itself in a market dominated by the USDT of Tether and the USDC of Circle by sharing the yield with the participating companies which create connectivity and liquidity.
The squid of the consortium maintains a 1: 1 ankle with the US dollar, supported by high -quality liquid assets, including dollars and US government titles in the short term. Paxos publishes monthly reserve reports to verify full support.
Visa’s Stablecoin’s push follows a previous report on the company’s engagement with World Network, formerly known as Worldcoin. The emphasis was placed on the integration of card features in the world’s self-manship portfolio.
The collaboration with Visa would allow users of the World Wallet to access Fintech services, Ramps Fiat on and offer Payments of Stablecoin via Global Merchant Network from Visa.
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