Settle Network and Stellar have jointly created two stablecoins for Argentina and Brazil. The Stellar-based stablecoins ARST is backed by the Argentine Peso, while the BRLT is backed by the Brazilian Reais. The launch of the fiat tied stablecoins intends to make remittances between the two Latin countries easier. The announcement for the launch of the fiat-based stablecoins on the Stellar network was made live on stage at Meridian during Stellar’s 2nd annual conference on November 19, 2020.
Launching Fiat Stablecoins for Argentina and Brazil
Settle Network is one of the largest digital assets settlement networks across the Latin American market especially for cross-border payments. Stellar is a blockchain network created by the co-founder of Ripple Jed McCaleb to enable connecting financial institutions via cryptocurrency payments.
CEO of Settle Network, Pablo Orlando, shared a statement with Decrypt publication:
“The new Settle Network and Stellar stablecoins, ARST and BRLT, allow users to virtually send Argentine Pesos (ARS) and convert them to Brazilian Reais (BRL) in a matter of seconds, opening a new world of possibilities for international remittances and cross border payments.”
The deal between Settle Network and Stellar will initially involve the issuance of stablecoins in Argentina and Brazil for the direct exchanging of the cryptocurrencies.
Both ARST and BRLT are backed by their domestic digital currencies by 100%. Both require banking grade KYC verification, AML controls, and blockchain monitoring.
Argentina and Brazil in Need of Remittance Payments
Once the ARST or BRLT stablecoins are credited into users’ wallets they can trade BTC to ARST, ETH to ARST, BTC to BRLT to ARST, or any other stablecoin pair in the exchange.
While ARST is already available in Stellar’s Wallet Vibrant, it will soon be listed on multiple crypto exchanges all over the world including BRLT.
Meanwhile, Settle has reported that Argentina and Brazil are the leading markets in Latin America and where remittance and cross-border payments are needed the most.