Canadian cryptocurrency platform Coinsquare announced on Thursday the pre-launch of its fiat-backed stablecoin, eCAD. According to Coinsquare, eCAD will provide the Canadian and global markets the stability of the Canadian dollar with the benefits of a digital currency. This new product will allow investors to purchase eCAD on a 1:1 basis with CAD.
“For every one eCAD created, one Canadian dollar (CAD) will be held in reserve. As a result, Coinsquare is able to offer a transparent and reliable asset that global investors can use as a store and transfer of value and as an alternative to several USD-backed stablecoins.”
While sharing more details about the crypto, Cole Diamond, CEO of Coinsquare, stated:
“We are thrilled to announce the first step of our plan to bring stability and opportunity to the Canadian cryptocurrency market. The launch of eCAD will create the first transparent, affordable, and secure way of transferring value in Canada and beyond, without the risk of instability in the traditional cryptocurrency market.”
Coinsquare noted that the launch of eCAD will mark a significant step forward in Coinsquare’s mission to become a 21st century financial institution. Coinsquare added:
“The addition of this stablecoin offering will allow Coinsquare to continue to explore how to optimize financial services including cross-border payments and remittance, peer-to-peer lending, merchant solutions, trade settlements, and FX conversions.”
As previously reported, Coinsquare recently laid off 40% of its workforce. The latest layoffs reportedly follow a 20% cutback on employees undertaken by Coinsquare last July. According to Coinsquare CEO Cole Diamond, the exchange scaled up from three employees to 150 in the 21 months, but has now, “…decided to make some cutbacks to make sure we protect our strong position in the market…”