A hotspot for cryptocurrencies, Switzerland is taking an active part in favoring crypto and working for its positive future. Recently, two stablecoins have been launched by Universa.
Backed by gold and Swiss Franc
Yesterday, Universa Blockchain announced that it has launched two stablecoins that are physically backed by gold and Swiss Franc. The two stablecoins dubbed uGold and uCHF are backed by the Gold and the Franc and they are expected to surpass the USD 100 million circulation mark within a year of their launching.
The report pointed out that applicants are showing interest in using the stablecoins as soon as possible. The company is also looking to develop a third stablecoin by next year and it would be backed by oil barrels.
The gold and SwissFranc backing these stablecoins have been deposited in vaults in Zurich and Liechtenstein’s Landesbank. Commenting on this latest development, Alexander Borodich, the Founder and CEO of Universa stated that “Owners of Stable Coins such as uGold and uCHF can transfer their digital money around the world instantly at virtually no costs, while being protected from the volatility of digital currencies.”
The company added that transactions involving the stablecoins will have a fixed transaction fee of $0.01 despite the amount involved. The initial application volume for uGold has surpassed two tonnes of gold, with the circulation volume of the two expected to exceed USD 100 million within a year. Borodich added that “The ability to trade digital currencies backed by metal, as well as other tokenized commodities, create brand new opportunities in the realm of interstate commerce. With these, participants don’t need to store reserves of foreign currencies. Instead they can now hold reserves in the form of tokenized oil, gold or even nickel, for example.”
Beyond just making use of uGold and uCHF, the company is working on making it possible for any company or financial institution is able to issue its own secured digital currency based on Universa’s blockchain. The platform will enable digital assets to be exchanged equally quickly and cheaply, with a high level of security for the transaction and complete protection against counterfeiting also to be delivered.