Paxos Labs and Aleo Network Foundation are working to launch an US Dollar Pegged StableCoin aimed at preserving users’ privacy and appealing to financial institutions, companies say.
Unfinished Wednesday, the Usad token was built on Aleo’s zero-knowledge (ZK) layer 1 blockchain and issued through Paxos Labs, an infrastructure provider that was incubated under Paxos, the company behind popular stableecoins such as. and the global dollar (USDG).
Stableecoins are a fast -growing class of cryptocurrencies that is increasingly considered a cheaper, faster alternative to moving money globally. They are symbols with prices bound to Fiat money like the US dollar, and use blockchains to run transactions. Interest in stableecoins is accelerated with US President Donald Trump, who signs the genius act of the law earlier this year, adopting federal standards for stableecoin issuers.
Unlike conventional stableecoins such as Tether’s USDT and Circle’s USDC, Aleo’s StableCOin -Tevebog addresses addresses and transaction amounts that protect them from public point of view.
This design could appeal to financial institutions that are aware of revealing sensitive transaction data on the chain.
“Stableecoins have proven to be one of the most powerful innovations in the financial markets, and we only scrape the surface,” said Bhau Kotecha of Paxos Labs in a statement. The usad aims to “bring digital dollars into a new era where companies can integrate money that is private, programmable and trusted from scratch,” he added.
The new token fits into the Aleo Network Foundation’s focus on developing cryptographic tools that allow for programmable transfers without revealing counterparties. The project withdrew venture capital support from A16Z, Coinbase Ventures and Softbank among others.
“Privacy is the lack of link in Blockchain -Reconciliation in scale, and with USAD we prove that it can exist in a programmable stableecoin,” said Leena IM, Chief Operating Officer at the Aleo Network Foundation. “By pairing Aleos technology with Paxos Labs’ issuing rack, we take a common, front -door method with companies to show that digital dollars can be both trust and transparent to monitor while protecting the user’s confidentiality.”
