The National Australia Bank (NAB) has decided to abandon its stablecoin project, known as AUDN, just a year after announcing its development plans. This decision comes as a surprise, considering NAB was one of the four largest financial institutions in Australia.
According to reports, the team responsible for developing AUDN has left the bank, leading to the halt in the project. Instead, the team is now working on a new stablecoin called Ubiquity, which is being supported by companies like Animoca Brands, Merit Circle, and Concave. Additionally, there are plans for collaboration with another Australian bank, ANZ Bank, on their stablecoin project called A$DC.
At this time, NAB has not made any public statements regarding the discontinuation of AUDN. When reached out for comments, the bank did not respond. It is interesting to note that NAB had ambitious plans for AUDN, aiming to enable customers to settle transactions in real-time using Australian dollars on the Ethereum and Algorand blockchains. The stablecoin was also expected to have various applications, such as carbon credit trading, overseas money transfers, and repurchase agreements.
The decision to abandon the stablecoin project raises questions about the future of digital currencies in the Australian financial sector. With the rise of cryptocurrencies and blockchain technology, many institutions are exploring the potential benefits of stablecoins for facilitating transactions and improving efficiency. However, the challenges and uncertainties surrounding stablecoin development and regulation may have contributed to NAB’s decision to shift focus to other projects.
It will be interesting to see how the development of Ubiquity progresses and whether it will gain traction in the market. The collaboration with ANZ Bank on the A$DC stablecoin also presents opportunities for innovation and competition in the emerging field of digital assets. As the financial industry continues to evolve, the role of stablecoins and blockchain technology is likely to become increasingly important in shaping the future of banking and payments.