Colombian peso-pegged stablecoin targets multi-billion dollar market

The Argentinian fintech company has previously launched a stablecoin targeting the Argentine and Peruvian markets.

While the lion’s share of the stablecoin market is taken by assets pegged to the U.S. dollar, with a small portion pegged to the euro, companies around the world have begun launching stablecoins pegged to their national currencies in an effort to provide companies and consumers with stable prices for traditional payments. Alternatives to services.

One such company is Num Finance, a small Argentinian fintech company that just launched nCOP, a stablecoin built on the Polygon network and pegged to the Colombian peso.

The project is backed in part by $1.5 million in pre-seed funding led by investors including Reserve, Ripio Ventures, and others.

Targeting a multi-billion dollar market

Agustín Liserra, chief executive of Num Finance, said the Colombian market was one of the largest in the region and was therefore targeted.

“In Colombia, a unique opportunity exists to ‘tokenize’ remittances and provide nCOP benefits for remittances based on regulated financial products. Colombia is currently one of the main recipients of remittances in Latin America, with nearly $6.5 billion. Num Finance aims to provide a new possibility for people to send and receive nCOP as a money transfer and earn money from it.”

nCOP will reportedly offer an 8% yield to companies that choose stablecoins over traditional remittance methods.

CURRENT AND FUTURE PROGRAMS

Liserra further emphasized that his firm is committed to providing alternative ways of doing business in markets where traditional finance is said to be technologically behind.

“The launch of nCOP represents another step forward in our commitment to bringing state-of-the-art financial technology to areas where traditional finance remains mired in outdated practices. Investors are firmly committed to our long-term vision as we expand our stablecoin offerings That unwavering faith continues to inspire us."

Num Finance previously launched nARS and nPEN, two stablecoins pegged to the Argentine peso and the Peruvian sol. Num Finance is also working on stablecoins pegged to the Mexican peso, Brazilian real and Bahraini dinar, according to a company spokesperson.

However, Num Finance may soon have to compete with homemade Peruvian stablecoins.

As Cointelegraph previously reported, the Colombian central bank is currently exploring the possibility of launching an XRPL-based stablecoin in partnership with Ripple and Spanish blockchain firm Peersyst Technology.