World Crypto Global
- Written by: Jared Kirui
- Wed, 05 Jun 2024
- Israel
Stablecoin issuer Paxos has launched a yield-bearingstablecoin in Argentina. Available through crypto platforms Ripio,Buenbit, Manteca, and Plus Crypto, this new digital asset, dubbed Lift Dollar (USDL), aims tomaintain its value to the dollar and offer users an opportunity to earn dailyearnings from US government securities and cash equivalent assets.Powered by Ethereum Smart ContractsRonak Daya, the Head of Product of PaxosInternational, said: "Lift Dollar is the first stablecoin designed to benefittoken holders. Token holders and distribution partners receive daily yield through an Ethereum smart contract, with all the benefits of a regulated,trusted stablecoin platform.""Our targeted launch in Argentina will ensure millionsof token holders will now have safe access to US dollars that enables them tonot only save and transact but also earn daily yield. We are pleased to workwith these trusted platforms and look forward to growing our partnershipsthroughout the year."Today, Paxos International announced the launch of Lift Dollar ($USDL) a yield-bearing stablecoin that democratizes access to US dollars and safe yield generated from cash and cash equivalent assets. Now, you can seamlessly spend, save and trade, all while earning yield.1/4 Paxos (@Paxos) June 5, 2024According to a statement by Paxos, this yield isderived from a reserve of US government securities and cash equivalents managed under the supervision of the Financial Services RegulatoryAuthority of Abu Dhabi Global Market. This ensures that USDL is backed 1:1 byUS dollars.Focussing on Financial InclusionUSDL reportedly uses an Ethereum smart contract todistribute the daily yield directly to token holders without requiring anyadditional action on their part. The launch of USDL in Argentina is part ofPaxos effort to enhance financial inclusion in the region throughpartnerships. Last year, Paxos secured a preliminary license fromthe Abu Dhabi Global Markets Financial Services Regulatory Authority. Thisapproval allows the company to issue USD and other currency-backed stablecoins and offer crypto-brokerage and custody services. Paxos has already made significant strides in securingregulatory approvals, having previously received in-principle approval fromSingapores Monetary Authority of Singapore. Paxos strategy revolves around leveraging blockchaintechnology to create a more open and secure financial system. The firmsstablecoins are backed 1:1 by the US Dollar and cash equivalents. This article was written by Jared Kirui at www.financemagnates.com.
