XRP Ledger (XRPL) Hosts Phase 2 of Palau Stablecoin Project

The Republic of Palau is moving closer to its PSC stablecoin development goal and at the center of its implementation is the popular XRP Ledger (XRPL). 

Palau Stablecoin Project Advances

The PSC pilot Phase which lasted for three months was successfully carried out and now, the project is moving to phase 2. Author and XRPL enthusiast Anthony Welfare highlighted the official launch of this latest phase on the X app in reaction to an initial announcement made by Jay Hunter Anson, a Palau cybersecurity professional.

Palau PSC stablecoin is a United States dollar-pegged token (1:1) that is held in a Federal Deposit Insurance Corporation (FDIC) based commercial bank. The national digital currency is issued on the XRPL that facilitates the use of the token for settlements, ultimately improving the financial accessibility of citizens of Palau. 

Welfare expressed some positivity about the integration of the stablecoin project with a blockchain like XRPL. 

“Using a blockchain-based Digital currency opens up so many innovative and useful opportunities – such as reducing fees associated with financial transactions, reducing the carbon footprint of the money flow, and increased inclusion since no bank account is needed to use the PSC,” he stated.

XRP Ledger (XRPL) to Enhance Payments in Palau

Considering the dynamics of Palau’s infrastructure, getting fiat currency across 340 islands proves to be a hurdle. In the case of exploring online transactions, mobile data is expensive. XRPL brings another level of ease to completing transactions for residents of this country. It is designed to facilitate offline transactions. 

Should there be a power or data outage, the XRP Ledger (XRPL) ensures transactions can still be made.

These features of XRPL have made it the choice for many projects interested in integrating blockchain technology. 

To complement its capabilities, the team behind XRPL has been introducing more upgrades to the system even after upgrading to XRPL 1.12.0. Weeks ago, “fixReducedOffersV1” entered its two-week activation countdown period after gaining support from over 80% of validators. This functionality is designed to fix key issues with DEX offerings. In addition, XRPL has successfully closed its 84th millionth ledger, marking a testament to its robust infrastructure and growing ecosystem.

As a component of the Ripple Labs ecosystem, the protocol’s role in driving the firm’s CBDC vision is noteworthy and is a game-changer to watch out for.