February 5, 2023

National Bank of Australia to launch AUDN stablecoin

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National Bank of Australia to launch AUDN stablecoin

Australian bank from the "big four" National Australia Bank announced plans to launch a stablecoin AUDN. It will be pegged to the Australian dollar and fully backed by fiat currency.

A new stable cryptocurrency will appear inmiddle of this year. NAB plans to release an Ethereum-based stablecoin on the Polygon network. The fiat currency required to back the AUDN will be held by the National Bank of Australia itself.

NAB representatives reported that the new stablecoinwill mainly be used for settlements in financial transactions with multiple participants. For example, AUDN can be used for trading CO2 credits, international transfers and buyback agreements.

According to NAB head of innovation Howard Solby, blockchain will play a key role in the development of the financial industry, so the bank continues to use this technology:

“We definitely believe that elements of technologyblockchain will play a role in shaping the future of finance. From our point of view, the blockchain can be used for instant, transparent and full-fledged financial transactions.”

Recall that in the spring of last year, another majorAustralian bank ANZ has launched the A$DC stablecoin, pegged to the local currency. And in the fall of 2022, the Ettle startup introduced the stable cryptocurrency AUDE.