Ripple signs stablecoin agreement with archipelago country

The small country Republic of Palau has agreed with the Ripple company to issue a dollar-backed stablecoin. The stablecoin will be issued on the XRP Ledger (XRPL), known as the decentralized blockchain of XRP. Meanwhile, Ripple’s central banks digital currencies platform will also be used. The stablecoins will be distributed to government officials and employees in the first place.

Speaking on the subject, Palau President Surangel Whipps highlighted the importance of their cooperation with Ripple in creating a national digital currency.

We have taken a huge step towards financial innovation and adaptation to technology. This stablecoin will enable the people of Palau to achieve greater financial access.

The stablecoin will be named “Kluk”. Ripple’s central banks digital currencies platform will also be used for the stablecoin to be issued on the XRP Ledger (XRPL). As it will be remembered, the Ripple company first announced this platform in May.

The company announced a while ago that it is working together on CBDC with about 20 countries. Tomorrow, Ripple and Palau government officials will hold a joint press conference regarding the Palau CBDC.