One of the largest Canadian cryptocurrency exchanges Coinsquare has made an important announcement, which is definitely going to make an impact on the financial situation in the country. The trading platform launches eCAD, a first ever stablecoin tied to a fiat currency CAD.
Currently, there are multiple stablecoins pegged to the US dollar, there is also one backed up by the British pound sterling. There is even a coin tied to the value of gold. However, eCAD is going to be the first Canadian initiative in this matter.
According to the CEO of the crypto exchange Coinsquare, Cole Diamond:
“We are thrilled to announce the first step of our plan to bring stability and opportunity to the Canadian cryptocurrency market. The launch of eCAD will create the first transparent, affordable, and secure way of transferring value in Canada and beyond, without the risk of instability in the traditional cryptocurrency market.”
The eCAD stablecoin is going to be tied to the value of the Canadian dollar, which approximately costs 0.75 USD, according to a 1:1 ratio. It means that 1 CAD will be put in reserve for every single eCAD.
The new stablecoin was developed with the aim of bringing stability to the country’s financial market and create a secure and transparent asset for Canadian investors, who no longer have to purchase USD-pegged stablecoins.
This was an important step in developing the fintech potential of the country and helping it equip the industry with unique solutions and cutting-edge technologies. With the course of time, the research in this direction will continue, involving the development of cross-border payments, trade settlements, remittance and others.
There is no information so far about when exactly eCAD is going to be released into circulation and what exchanges are going to list it.
We would like to remind you that the stablecoin USDT, backed up by the US dollar, is going to be developed based on the blockchain of Tron.
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