Wirex, the popular FCA-regulated payment platform, recently announced the launch of 26 fiat-backed stablecoins on the Stellar Network, reported forbes.
"Stablecoins have the potential to transform the payments space," said Jed McCaleb, Stellar’s co-founder. "We’re excited to be working with Wirex to launch its first stablecoins to help make money more fluid and open to everyone."
According to wirex these stablecoins will be backed by fiat currencies such as the U.S. dollar, euro, the British pound, Hong Kong dollar and the Singapore dollar and will be the first to offer tangible utility to users. These new stablecoins will become tradeable within the next few months.
Earlier, Wirex had launched a Visa card that enables users to convert and spend cryptocurrencies where Visa is accepted, aiming to encourage widespread adoption of cryptocurrencies by using stablecoins.
Wirex’s main focus is to bring support for local currencies to make use of stablecoins for international transfers.
"Stablecoins combine the speed and cost of cryptocurrency transfers with the market stability of fiat currency...Fiat-backed stable coins also fall under existing e-money regulation. For example, in Japan, where cryptocurrency is regulated, there is no need to obtain a Virtual Currency License if your company only deals with fiat-backed tethers," Matveev told forbes.
Source: Steller
He explained that integrating Stellar-based stablecoins onto the Wirex platform is the point of stablecoins' transition from being novel to practical. For example, Wirex will make stablecoins to be available for more than 2 million retail and 5 thousand corporate customers over 130 countries worldwide.
"Our plan is to expand Wirex and allow people around the world to take control of their digital and traditional currency. We are launching in North America (USA and Canada) and the APAC region in Q2 of 2019. We already have 700,000 potential customers on the waiting list for a Wirex account. We want to bank the unbanked, democratize access to financial services and facilitate the integration of the burgeoning token economy," added Matveev.
