According to Foresight News, Jay Hunter, a member of Palau's Ministry of Finance, announced on the X platform that the government will stop distributing the Palau stablecoin (PSC) on September 8th, following the launch of a US dollar stablecoin pilot in August. After distribution ceases, the stablecoin will be frozen on September 15th, and users will be unable to spend it. Jay Hunter did not provide an exact reason for the freezing of the stablecoin.
The Palau stablecoin, nicknamed Kluk, aims to reduce transaction costs for Palau citizens, merchants, and the government while increasing transfer speeds. The stablecoin is built on Ripple's XRP Ledger, a platform focused on issuing central bank digital currencies (CBDCs).
