ANZ Banking Group has announced the completion of its first Australian stablecoin transaction using the cryptocurrency A$DC.
The stablecoin transaction for Victor Smorgon Group was conducted successfully through private wealth management service for digital assets, Zerocap.
A stablecoin is a cryptocurrency that is tied to a commodity or currency in order to increase price stability.
ANZ said that it “minted” 30 million A$DC using an ANZ-built Ethereum Virtual Machine (EVM) via a smart contract on the digital assets platform Fireblocks.
The coins were then transported back and forth between the parties before being redeemed in Australian dollars.
To develop the in-house stablecoin smart contract, ANZ collaborated with digital asset suppliers such as Fireblocks, Chainalysis, and OpenZeppelin.
“An ANZ issued Australian dollar stablecoin is a first and vital step in helping our consumers to discover a safe and secure entrance to the digital economy,” said ANZ financial services lead Nigel Dobson.
“Stablecoins offer a new method for clients to transact, and in this case, it was an efficient and straightforward way for Victor Smorgon Group to access Zerocap’s digital asset exchange and move cash over a decentralised network,” Dobson explained.
“We’re thrilled to keep testing our capacity and seeing how this use case might be used in other sectors and to different clients in the future.”
ANZ previously served as the guarantee issuer for the first digital banking guarantee on the Lygon blockchain technology, and the bank is a founding partner alongside CBA, Westpac, ANZ, Scentre Group, and IBM.