Gold-Pegged Stablecoin to be Released on Cardano Blockchain
MELD, a Cardano-based company, plans to collaborate with Nigerian telecom operator Tingo Holdings and tokenization vendor Ubuntu Tribe to develop a gold-backed stablecoin.
The yellow metal utilized to underpin the asset will be extracted in Africa and South America in an indigenous and ecologically sustainable way.
“Gold will be kept in a safe, tokenized, fractionalized, and split so we can trade it,” stated Ken Olling, CEO of MELD.
Clients of Tingo Holdings will have exposure to the firm’s cryptocurrency banking facilities. “It’s a watershed moment in how individuals will access and create money,” said Mamadou Kwidjim Toure, spokesman for Ubuntu Tribe.
The stablecoin may be utilized as collateral for a cash loan on the MELD platform. Liquidity pools will make use of the collateral. Following the repayment of the loan, the costs, along with the original deposit, are repaid to the borrower.