Republic of Palau Joins Hands With Ripple to Develop Digital Currency Strategy

Global payments company Ripple has partnered with the island country Republic of Palau to develop strategies for a digital currency.

“The partnership will initially focus on developing strategies for cross-border payments and a USD-backed digital currency for Palau,” the fintech company announced on Tuesday.
This could lead to the implementation of the the world’s first government-backed stablecoin in the first half of next year. Ripple would provide the country with technical, business, design and policy support.
A U.S. dollar-backed stablecoin could provide countries like Palau a viable alternative to central bank digital currencies (CBDCs), Ripple said.
“As part of our commitment to lead in financial innovation and technologies, we are delighted to partner with Ripple,” Palau President Surangel Whipps Jr. said.
“The first phase of the partnership will focus on a cross-border payments strategy and exploring options to create a national digital currency, providing the citizens of Palau with greater financial access,” the president said.

DISCLOSURE

Please note that our privacy policy, terms of use, cookies, and do not sell my personal information has been updated.

The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.

Parikshit Mishra

Parikshit Mishra is CoinDesk's Deputy Managing Editor responsible for breaking news coverage. He does not have any crypto holdings.

Follow @parikshitm899 on Twitter

Learn more about Consensus 2024, CoinDesk’s longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.