Latin American stablecoin issuer Anclap decided to expand its Stellar-based stablecoin network. According to reports, they will launch a new stablecoin in Peru. But before we share more on the details of the coin. Let’s exchange a few points on what it is. Stablecoin is a new class of digital currency. Moreover, it attempts to give a safe price to its buyers. So, the stock assets assure that the prices are stable. Currently, Stablecoin has gained traction as they are attempting to give their users the best of both the world.
With features like instant processing, and the privacy on how you pay, the Stellar-based currency has become a volatility-free stable currency. So, let’s go deeper to understand why it is unique.
What is Stablecoin?
Bitcoin remains one of the most popular electronic currency options. However, we all know how it tends to suffer from a high volatility rate because of the valuation. Take the fluctuation of the value for example.
It rose to $5,950 in November 2020. However, in the same year of December, it shot up to $19,700. But it again declined in early February by around two-thirds to $6,900. So, it is common to see the value of digital currency swing so often.
As it happens, crypto coins tend to maintain a high purchasing power with low inflation. That is why many find it suitable to spend the token rather than saving them. It is here where Stablecoin comes in. They provide a steady solution to fulfill this safe behavior.
But why is it stable? Two reasons. One of the reasons behind the stability is the power of Fiat currencies that backs them. While the other is their timely market actions. Sources have revealed that central banks control these actions.
A New Peruvian Model on The Market
Stablecoin is already tied with Fiat currency. So, they have decided to launch a new stable coin in Peru named Peruvian Sol or PEN, the coin assures that it can enable instant transactions on Anclap Network. What is more interesting is that it allows the changeover to any fiat currencies.
Moreover, they have extended this feature and will give the user the chance to converse it to other digital assets as well. We will call this procedure the Digital Ground. Further, the company has said that it will also be backed by fiat currencies. So, if one wants to invest in it, they can find it on the Stellar network or its merged platform.
They also said that Digital Sol is available for purchase in digital wallets. More significantly they have said that one can exchange them for foreign currencies. Such currencies that one can trade it with are the Argentine peso, the Brazilian real, the US dollar, and the euro.
Anclap co-founder Ivan Mudryj in an interview said, “The digital ground opens the borders of the Peruvian market. So, it allows the local people and businesses to send and receive payments, to exchange value with anyone else in the world in all types of currencies. It all happens in minutes and at a very low cost. Argentina and Peru are currently connected to the Stellar network in the United States. using their respective stable coins.”
Moreover, the company looks forward to releasing many other stablecoins for the Colombian peso and the Chilean peso in October and November 2021 respectively. Other coins that will take place are the digital Mexican peso and digital Brazilian real. Although currently, they are still in development.
We all know how Anclap has been working on its Stellar-based digital payment network since 2017. Their only mission is to get rid of costly and slow banking trades. Anclap posted on Twitter “It is not just a new country with its stablecoin. But millions of citizens who are now related to new financial chances to build a better future”.
The launch will come with vast growth. And they expect it will make the market boom. The total value of the stable coin market has risen from $ 37 billion. Currently, it has hit the $ 130 billion mark. One can say that the market of stablecoin has seen a huge surge. H