UnionBank, one of the largest banks in the Philippines, has become the nation’s first financial institution to roll out its native cryptocurrency. The financial institution has already facilitated its first cryptocurrency transaction, the Philippine Star reported.
The price of the stablecoin PHX issued by the bank is pegged to the Philippine peso, while the coin itself works on the i2i platform that links UnionBank with the rural banks.
“PHX is a stable store of value, medium of exchange and is a programmable token with self-executing logic. It enables transparent and automatic execution of payments,” Arvie de Vera, senior vice president and head of the fintech business group of UnionBank stated.
Arvie de Vera said the banks that had joined the platform excellently performed a few transactions with PHX such as purchase, buy-back, and internal transfers.
While the technology behind the stablecoin isn’t revealed, UnionBank aims expansion outside the Philippines.
Last year, UnionBank rolled out a pilot blockchain project for preparing retail payments in real-time in collaboration with Ethereum-backed startup ConsenSys.
Moreover, the US-based JPMorgan revealed the development of its proprietary stablecoin pegged to the US dollar. In June, JPMorgan stated that it was prepared to begin testing it among corporate clients.