The AUDN stablecoin is the second one to be released in Australia after ANZ’s stablecoin and is expected to help in several aspects of payments.
A new stablecoin is all set to be released in Australia by the National Australia Bank (NAB). It is only the second bank among the ‘Big 4’ Australian banks to release a stablecoin after Australia and New Zealand Banking Group (ANZ). ANZ released its stablecoin called A$DC in March 2022, while another stablecoin project between all four banks of the ‘Big 4’ had not gone through for various reasons.
The new AUDN stablecoin will be released sometime between 2023 and will be used for efficient international money transfers and carbon credit trading. Backed by the Australian Dollar in a ratio of 1:1, the AUDN stablecoin was launched due to NAB’s trust in blockchain technologies becoming an important part of the world of finance in the future. The stablecoin could also replace the expensive SWIFT payment network in the future, while NAB plans to release the stablecoin for various currencies the bank has licenses for.
“We certainly believe there are elements of blockchain technology that will form part of the future of finance […] From our point of view, we see [blockchain] has the potential to deliver instantaneous, transparent, inclusive, financial outcomes,” said the chief innovation officer of NAB Howard Silby.
Experts from the crypto industry welcomed the development and admitted that banks had gradually recognized the benefits of blockchain over traditional payment systems.