Robinhood and Kraken Launch a New Global Stablecoin

Reading Time: < 1 minute

According to a press release by Paxos, leading fintech and digital asset companies have come together to launch the Global Dollar Network.

The open network’s main focus is to promote the adoption of stablecoins and advance their practical use in real-world applications. Participants in this initiative include major players in the industry such as Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei, Paxos, and Robinhood.

The network will utilize Paxos’s newly developed stablecoin, the Global Dollar (USDG), which adheres to the Monetary Authority of Singapore’s upcoming stablecoin framework.

USDG is designed to offer a yield on reserve assets to users who contribute to its adoption, encouraging the development of cryptocurrency and financial solutions using the token.

The goal of the Global Dollar Network is to address current issues in the stablecoin market, such as high transaction costs and limited consumer protections.