The Ministry of Finance in Palau has launched the second phase of the Palau Stablecoin (PSC) Program. This program aims to establish a digital currency pegged to the U.S. dollar at a 1:1 ratio. The PSC is stored in a commercial bank with FDIC insurance and is issued on the XRP Ledger. Palau plans to extend its partnership with Ripple in this next stage, leveraging Ripple’s CBDC platform and technical expertise.
The focus of the second phase of the PSC pilot program is to establish new collaborations for marketing and sustainable development goals. The Palau government aims to expand accessibility and user participation, reaching a wider audience. The development of a digital ecosystem and increased user engagement are prioritized, with a strong emphasis on regulatory compliance.
Anthony Welfare, Ripple’s CBDC Strategic Advisor, highlighted the advantages of blockchain-based digital currency, including reduced transaction fees and the potential to address the environmental impact of money circulation. He also mentioned specific challenges faced in Palau, such as the complexity of moving traditional currencies across the country’s 340 islands and high mobile data costs.
Palau residents can conduct offline transactions using the PSC, even during power outages. The initial phase of the PSC program involved 168 volunteers from government employees who received 100 PSCs each to use at local retailers. Positive feedback was received from both the participants and retailers involved in the program.
This News Article was automatically generated by Bob the Bot (AI)
| Information | Details |
|---|---|
| Geography | Global |
| Countries | 🇵🇼 |
| Sentiment | very positive |
| Relevance Score | 1 |
| People | Jay Hunter Anson, Anthony Welfare |
| Companies | FDIC, Palau Stablecoin (PSC) Program, Ministry of Finance, XRP Ledger, Ripple |
| Currencies | Pascal, US Dollar, XRP |
| Securities | None |
