Centi said the Centi Franc stablecoin will serve as the “foundation” for its blockchain-based global payments network.
Switzerland-based startup Centi announced the launch of a stablecoin pegged to the Swiss franc on March 21, according to a press release.
The token is called Centi Franc Stablecoin ( CCHF ) and it will be backed 1:1 by a Swiss bank guarantee.
The company said the CCHF coin will serve as the “foundation” for its blockchain-based global payments network, calling it the “closest implementation to date” of a central bank digital currency (CBDC).
Global Payment Network
Centi’s new payment network uses blockchain and web3 technology to significantly reduce the cost and time it takes for merchants to settle transactions and receive funds. It essentially allows for real-time settlement between buyers and sellers.
The company intends to compete with credit card payments and other traditional payment providers through the platform. Centi claims that processing payments through its network is 90% cheaper than established competitors such as Paypal, VISA and Mastercard.
The company added that its goal is to allow buyers and sellers to interact and settle their trades without the use of “deep-pocketed middlemen” with hidden fees and costs.
Bernhard Müller, CEO and founder of Centi, said:
“Our technology leverages the efficiency of blockchain to reduce payment processing fees without requiring users to know anything about crypto. Our payment solution is the first use case implementation of this technology and we expect many others to follow.”
The company says merchants and users do not need prior knowledge of crypto to use its payment network, nor do they have to change their accounting practices. The network is fully integrated with current POS and cashier payment systems, so merchants can quickly get started without additional hardware or software.
Centi said it is providing a “blueprint” for how digital currency and fiat on- and off-ramps “should and can work.”