Tether (USDT) Replaces SWIFT for USD Operations of Xapo Bank: Details

Tether

With the addition of USD Coin (USDC), Gibraltar’s Xapo Bank becomes the first fintech in history to use the infrastructure of USD Tether (USDT) to transfer dollars between its accounts. The team emphasises that the integration complies with MiCA regulations.

Xapo Bank pioneered using Tether (USDT) for USD accounts

The Xapo Bank team published an official notice stating that the bank has begun utilising USDT for transactions between its USD accounts. Gabor Gurbacs, a VanEck employee and Tether Limited advisor, echoed this assertion.

As a result, Xapo Bank becomes the first regulated banking organisation to use “stablecoin rails” in place of the SWIFT method of information sharing for operations that are quicker, more transparent, more resource-efficient.

The CEO of Xapo Bank, Seamus Rocca, emphasises the significance of this integration for the whole banking industry in Europe and other areas:

The only licenced bank in the world to provide a USD account with stablecoin rails is Xapo Bank. This innovative product combines the compliance and security of a conventional bank with the quickness, effectiveness, and applicability of USDT. We are dedicated to removing the time-consuming and sometimes costly deposit and withdrawal processes into conventional banks by expanding our payment rail choices. We are enabling our members to accumulate wealth, access it, and spend it conveniently.

Prior to this, Xapo Bank implemented USD Coin (USDC) by Tether’s principal competitor Circle Inc. The USD to both stablecoin conversion rates are set at 1:1.

USDT prints new market cap record over $83.6 billion

As a result, Xapo Bank customers may even leverage stablecoin infrastructure to get a return on their investments.

Additionally, Xapo Bank representatives emphasised that the integration complies entirely with the MiCA framework, a new EU legislation on digital assets.

As previously reported by U.Today, Tether (USDT) just surpassed the previous high for the stablecoin’s net market value.

Its current circulating supply across several blockchain platforms exceeds $83.6 million.

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