Stablecoin issuer Paxos announced the issuance of a new stablecoin Global Dollar ($USDG) in Singapore, and through cooperation with financial institutions such as Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei and Robinhood, Paxos is building an exclusive Global Dollar Network, a global open network based on $USDG, to promote the adoption of stablecoins.
Image source: X/@Paxos $USDG partner institution
How does Paxos secure institutional cooperation opportunities?
This cooperative network is based on the unique profit sharing mechanism of Global Dollar ($USDG). Any institution participating in the Global Dollar Network can receive profit sharing rewards from the $USDG reserve assets. The co-founder of Paxos said that up to 97% of the asset reserve income of $USDG will be returned to its holders, and everyone can join the Global Dollar Network and receive deposit rewards.
High degree of freedom and regulation
According to the official press release, the Paxos development team believes that many stablecoins cannot meet global enterprise and consumer protection standards and are subject to outdated business models that make operating costs expensive; to solve difficulties such as regulations and economic benefits, Paxos has followed The stablecoin framework established by the Monetary Authority of Singapore further improves the Smart Contract of Global Dollar ($USDG) to ensure that it meets the highest security and regulatory standards and can support enterprise-level applications. This means that $USDG will be widely used by payment providers, custodians, exchanges and major investment platforms, thereby optimizing the adoption of stablecoins.
Johann Kerbrat, general manager and vice president of Robinhood, pointed out that $USDG can build a bridge between traditional finance and cryptocurrency to achieve more efficient, low-cost transactions and further achieve financial inclusion.
Anchorage Digital CEO Nathan McCauly also emphasized:
"Through peer-to-peer transmission, efficient cross-border settlement, and profit sharing mechanism, $USDG provides amazing opportunities for institutions."
Subscription channel for $USDG
From now on, $USDG has been opened to legal entities in different sectors such as custodians, exchanges, payment fintech companies, merchants, banks and investment platforms. Users can already use Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei and Robinhood and other custodial institutions subscribe for $USDG.
[Disclaimer] There are risks in the market, so investment needs to be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views or conclusions contained in this article are appropriate for their particular circumstances. Invest accordingly and do so at your own risk.