Australia and New Zealand Banking Group have released an Australian dollar stablecoin payment, in a landmark transaction to become the first Australian lender to mint digital assets linked to the currency of the country.
A stablecoin is a type of digital asset that is prepared to keep its value stable in relation to another asset, and are continuously used as a portal to other cryptocurrencies or to generate revenue in decentralised financial systems.
ANZ has said that it has released the Australian dollar stablecoin to a private wealth management firm for digital assets, Victor Smorgon Group, with digital asset investment platform Zerocap.
The company’s move to mint digital assets linked to the Australian dollar comes out after the Reserve Bank of Australia said last year that the growth wallets could allow the exchange of tokens or digital forms of money that could be backed by the RBA.
ANZ, which is the third-biggest lender of Australia said it minted 30 million od A$DC using a smart contract and the coins were transferred to the parties and later redeemed back into Fiat currency.