Leading Companies Collaborate to Launch Global Dollar Network Stablecoin

The broad adoption of cryptocurrencies requires the expansion of stablecoin usage. A significant step has been taken in this domain. A new initiative involving several major players may create substantial impact.

What is USDG?

Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei, Paxos, and Robinhood have partnered to introduce a new stablecoin called the Global Dollar Network. This initiative marks the beginning of a new process that unites the power of many giants to promote global stablecoin adoption.

Paxos will issue the token in accordance with regulations, while custodians, exchanges, payment technology firms, and other major players in the financial sector will be able to join the network. Arjun Sethi, Co-CEO of Kraken, stated:

“The lack of competition in the regulated stablecoin market has hindered the sector’s full potential. USDG reverses this dynamic with a fairer model that will bring mainstream participants into the ecosystem and accelerate new stablecoin use cases.”

Singapore’s banking giant DBS Bank will serve as the custodian of the stablecoin’s reserves. Although USDG will initially be available on the Ethereum $2,496 network, it aims to expand to as many networks as possible swiftly.