The National Australia Bank (NAB) is working on a stablecoin called AUDN.
NAB, one of Australia’s four biggest banks, aims to launch AUDN in the middle of 2023.
With AUDN, customers can settle transactions on blockchain technology in real time using Australian dollars.
According to Howard Silby, NAB’s Chief Innovation Officer, AUDN could also be useful for "carbon credit trading, overseas money transfers, and repurchase agreements."
AUDN will launch on the Ethereum and Algorand blockchains.
Stablecoins are cryptocurrencies with their value being pegged to another asset class, such as a fiat currency or gold.
The AUDN will be pegged fully to the Australian dollar.
NAB is the second major Australian bank to be involved in the creation of a stablecoin behind the Australia and New Zealand Banking Group (ANZ).
