Paxos has joined forces with major industry players to launch the Global Dollar Network, a project focused on accelerating global stablecoin adoption. The announcement on Nov. 5 revealed that key collaborators include Anchorage Digital, Bullish, Galaxy Digital, Kraken, Nuvei, and Robinhood.
By combining their resources, these partners aim to expand stablecoin use and unlock real-world applications. Currently, six companies are involved; however, Paxos plans to invite additional partners as the initiative grows.
Tackling Key Stablecoin Challenges
Paxos explained that the Global Dollar Network addresses several common challenges associated with stablecoins, particularly in meeting enterprise-level security standards. These challenges have, in fact, limited stablecoin use across various sectors, including payments, custodial services, exchanges, and investment platforms.
Consequently, the Global Dollar Network seeks to fill these gaps by offering a reliable stablecoin supported by a robust partnership structure. This collaborative approach will enhance financial solutions across different industries and facilitate the integration of crypto-based services.
Meeting Enterprise Standards
The primary goal of the Global Dollar Network is to transform the stablecoin market by ensuring it meets rigorous standards. Paxos CEO and Co-Founder Charles Cascarilla stated, “Global Dollar Network will return virtually all rewards to participants and is open for anyone to join. It is designed to incentivize global stablecoin usage and accelerate the widespread adoption of this technology.”
Introducing USDG: The Global Dollar Stablecoin
At the center of this initiative lies USDG, a new stablecoin backed by the U.S. dollar. USDG aligns with Singapore’s forthcoming stablecoin regulations. Moreover, DBS Bank, Southeast Asia’s largest bank, holds USDG reserves and serves as its primary banking partner, providing essential cash management services.
Starting today, users on Anchorage, Galaxy, Kraken, and Paxos can access USDG. In addition, other distribution partners will gain access soon. Kraken Co-CEO Arjun Sethi emphasized, “The lack of competition in the regulated stablecoin market has prevented the industry from reaching its full potential. USDG changes this dynamic by offering a fairer model that will attract mainstream users and foster new stablecoin applications.”
Ultimately, with the Global Dollar Network, Paxos and its partners aim to make stablecoins an integral part of the global financial system. Their efforts set the stage for widespread digital currency adoption across industries.
The post Paxos launches USDG global dollar network with partners including Robinhood, Kraken appeared first on CryptoSlate.
