As it prepares for its token sale, crypto exchange company London Block Exchange has announced the release of its own stablecoin, LBXPeg, tied to the value of pound sterling (GBP) and held in an auditable UK bank account on a 1:1 basis.
LBXPeg will allow users to transfer the digital equivalent of GBP quickly, easily and on a global scale through a decentralized network.
It will make the transfer of money traceable and trustless and, as such, has a wide range of use cases; from payments to merchants to a smart contract-based distribution of dividends for a company’s shareholders.
The LBX team said:
“We will be initially utilizing the Ethereum blockchain to develop, distribute and manage LBXPeg as the platform is transparent, efficient and close to reaping the benefits of its upcoming scaling solutions. LBXPeg will be an ERC-621 token – building upon the ERC-20 standard – which will grant the required flexibility in the total supply to match the quantity of GBP held in the segregated bank account. LBXPeg will also be issued on other blockchains where compliance controls can also be maintained.”
After LBXPeg’s initial release, LBX will explore tying the product’s value to accounts which hold both fiat currencies – such as EUR and USD and commodities such as Gold to improve both its scope and stability.
