Montenegro, together with Ripple, will create a stablecoin pegged to the euro

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The Prime Minister of Montenegro announced cooperation with the American company Ripple to create a state-owned stablecoin and modernize the payments sector.

Dritan Abazovich (DritanAbazovic said that he recently met with several Ripple executives, including CEO Brad Garlinghouse and Vice President of Central Banking James Wallis. The Prime Minister announced that he is going to develop the payment infrastructure and solutions for digital payments in the country.

The authorities of Montenegro in cooperation with the companyRipple has launched a pilot project to create a stablecoin pegged to the euro. Although Montenegro is not part of the European Union, the small southeastern European country uses the euro, adopting it as its national currency in 2002 to guard against hyperinflation.

Ripple also cooperates with other countrieson payments using blockchain and crypto assets. In December, the authorities of the Republic of Palau announced the launch of a project to create a stablecoin backed by the US dollar. XRP, Ripple's cryptocurrency, is actively used to make international payments using the On-Demand Liquidity (ODL) service.

Despite Ripple's growing influence overAbroad, the company's activities are overshadowed by legal battles with the US Securities and Exchange Commission (SEC), which have been going on for about two years. Ripple management does not agree with the regulator's opinion that XRP is an unregistered security, and hopes that the proceedings will end this year.