- It’s the U.S. Federal Reserve’s first blockchain partner
- It lets you convert dollars into Stablecoins
- But the network will get some limitations
The Metal Blockchain team announced a partnership with FedNow, the Fed’s instant payment service.
This integration will allow for the conversion of fiat to stabelcoins and back, and payments through FedNow.
Metal Blockchain is a network developed from the Avalanche ecosystem. It is owned by the Metallicus team.
The developer noted that the network will comply with the Bank Secrecy Act as well as KYC and AML regulations.
The integration of Metal Blockchain and FedNow will be built on a dedicated “X-Chain” subnetwork.
This is a secure environment that will allow developers to implement specific rules for crypto-transfers.
For example, this subnet can only work with U.S. citizens or set time limits and other settings.
So far, both sides have not specified what restrictions crypto payments will have under Fed oversight.
This is Metallicus CEO Marshall Hayner’s comment:
“Integration of Metal Blockchain and FedNow will help build interconnected banking payment chains.
Which means creating a large secure blockchain ecosystem that does not depend on oracles.
Banks will process payments and make settlements while remaining inside the FedNow system.”
He added that Metal Blockchain could also be a support platform for the digital dollar. The Fed is preparing to launch the FedNow system as early as July of this year.