Palau to Become the First Country to Issue a CBDC on XRPL
Ripple has joined forces with the Republic of Palau for a pilot program centered on a stablecoin backed by the U.S. dollar.
This collaboration aims to create a national digital currency and promote financial innovation and technology in Palau, increasing financial accessibility for its citizens, as stated in an official press release by Palau President Surangel Whipps Jr.
Under this pilot initiative, the initial distribution of the U.S. Dollar-backed Palau Stablecoin (PSC), affectionately known as ‘Kluk,’ will be provided to Palau government employees. The PSC will be deployed on the XRP Ledger (XRPL) using Ripple’s Central Bank Digital Currency (CBDC) Platform.
The Republic of Palau Stablecoin (PSC) or ‘Kluk’ represents a prototype of the U.S. Dollar’s digitization, developed in collaboration with Ripple, utilizing the XRPL blockchain. According to Jay Hunter Anson from Palau’s Ministry of Finance, the success of this limited and controlled PSC pilot has the potential to revolutionize payment methods for goods and services in Palau.
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Back in May, Ripple launched its comprehensive CBDC Platform, offering users the ability to seamlessly mint, manage, transact, and redeem CBDCs and stablecoins. Palau’s stablecoin pilot is the latest endeavor to be hosted on this platform. Ripple has also indicated that it is actively working with more than 20 governments worldwide on CBDC projects.
The joint press release regarding the pilot by Ripple Labs and the Republic of Palau is scheduled for Thursday at 9:00 a.m. Palau Time (PWT).
Alexander Stefanov
Reporter at CoinsPress
Alex is an experienced finance journalist and a cryptocurrency and blockchain enthusiast. With over five years of experience covering the industry, he deeply understands the complex and constantly evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His passionate approach allows him to break down complex ideas into accessible and insightful content. Follow up on his content to be up to date with the most important trends and topics - stay ahead of the curve with CoinsPress.
