When stable coins first came about, a lot of people weren’t exactly fans of them. One of the features that stood out about Bitcoin (BTC) and a few other cryptocurerncies was the fact that they weren’t reliant or dependent on the value of the traditional fiat currency.
However, it’s starting to seem like people, especially governments really do like the entire concept of cryptocurrencies that are pegged to a currency or to exchange traded commodities. Probably because they are specifically designed minimize the effects of price volatility. Which seems good right about now, considering the crypto market is going through a bearish season.
According to the local tech and finance news outlet Fintech Hong Kong’s report on Jan. 29, a Hong Kong-based money transfer has launched what is the first stablecoin pegged to the Hong Kong dollar (HKD). Bitspark is a platform where stablecoins form the medium of value transfer. The platform has launched the Sparkdex.HKD stablecoin as a feature on its SparkDEX decentralized exchange.
The CEO of the platform, George Harrap, was quoted in the report saying,
Until now, US Dollar stablecoins have dominated the market but there are other national currencies in the world, like the Hong Kong Dollar
He further added that Bitspark would open the gates for more diverse currencies in the stable sector, which is much needed according to him.
The stable coin sector saw significant growth in the final two quarters of 2018, as several cryptocurrency exchanges scrambled to support different and new digital assets.
Only last week, the top 5 exchange platform Huobi announced that it has plans to launch a stablecoin asset of its own this year. However, it did not reveal what would be its target currency. As of now, the stable coin that managed to achieve major uptake is the USD backed Tether (USDT).
For further updates stay tuned to BlockPublisher.
