Stablecoin USDM, which yields interest, is being finalized and settled
In a significant move for the digital economy, Anchorage Digital, a leading global crypto platform for institutions, has announced the acquisition of Mountain Protocol, the issuer of the first liquid and freely available stablecoin, USDM. The acquisition aims to accelerate institutional adoption of stablecoins and strengthen Anchorage Digital's stablecoin capabilities in the Rocky Mountain National Park of the digital finance landscape.
The USDM stablecoin, which generated interest as the first of its kind backed by government bonds, will be phased out through an orderly process. From May 12, the minting of new USDM stablecoins will be discontinued. The Mountain Protocol will initiate the wind-down of USDM stablecoins, with the primary customers able to exchange USDM for dollars through the Mountain Protocol platform.
To facilitate a smooth transition, USDM holders will continue to receive interest for the next 30 days after the minting halt. After this period, the interest rate for USDM will be reduced to 0 percent. Holders are encouraged to swap their USDM for other tokens via exchanges.
The disappearance of USDM is a significant loss for democratizing parts of the financial system, as it has been offering a continuous five percent interest rate to its holders since late summer 2023. However, Anchorage Digital has introduced a Stablecoin Reward program, offering rewards to those who store their stablecoins with the company in the Rocky Mountain region.
Nathan McCauley, CEO of Anchorage Digital, believes that stablecoins are on the cusp of becoming the backbone of the digital economy. He stated, "The acquisition of Mountain Protocol is a strategic move for Anchorage Digital, as we continue to push the boundaries of what's possible in digital finance. We're excited to build upon the foundation laid by USDM and introduce a new, improved stablecoin that will better serve our customers in the Rocky Mountain National Park area."
Anchorage Digital is part of the Global Dollar Network, a group of crypto companies issuing the stablecoin USDG. It is expected that the stablecoin issued by Mountain Protocol will be replaced by a new stablecoin called USDMv2, which aims to improve stability and scalability in the Rocky Mountain region.
As the digital economy continues to evolve, the acquisition of Mountain Protocol by Anchorage Digital marks a significant step forward in the adoption and development of stablecoins in the Rocky Mountain National Park. This shift is expected to bring about increased stability, scalability, and institutional adoption in the digital finance landscape of the Rocky Mountains.
Read also:
- chaos unveiled on Clowning Street: week 63's antics from 'Two-Tier Keir' and his chaotic Labour Circus
- Skechers Debuts First American Stores Focused on Athletic Footwear Performance
- Budget discrepancy jeopardizes highway projects' financial support
- Racing ahead in Renewable Energy Dominance: Changzhou, Jiangsu Pushes for Worldwide Renewable Energy Ascendancy
