Adds US Dollar Receipts, Algorand and Ethereum Blockchains, and Receipt Dispenser to Tests
LONDON, ON, November 29, 2021 / CNW / – VersaBank (âVersaBankâ or the âBankâ) (TSX: VB) (NASDAQ: VBNK), a leader in digital banking and cybersecurity solutions, today announced a significant expansion in reach and closed ecosystem testing functionalities of its revolutionary Digital Deposit Receipts (“DDR”). As a premium, issuer-backed digital asset, represented by actual deposits in US or Canadian dollars with VersaBank, the Bank’s DDRs are expected to be a superior and regulatory compliant alternative to current stablecoins for banks. traditional financial applications.
Extended Closed Ecosystem Testing, undertaken with VersaBank’s blockchain technology partner Stablecorp, adds US dollar denominated (“VUSD”) DDRs (in addition to Canadian dollar denominated (“VCAD”) DDRs as previously announced ), Algorand and Ethereum blockchains (in addition to the Stellar Blockchain as previously announced), as well as testing with a receipt distributor, which will become one of the Bank’s primary DDR distributors upon commercial launch.
“We are very pleased with the progress and results to date of our closed digital deposit receipt ecosystem testing, which demonstrates that the DDR model is performing as intended and managing digital assets in a secure, reliable and verifiable manner,” said declared David taylor, President and CEO, VersaBank. âVersaBank’s DDRs are a natural extension of our existing digital depository services which, when placed on a public blockchain and backed by the security of the Bank’s VersaVault digital asset security technology, becomes a completely financial innovation. unique and revolutionary. “
Mr Taylor added: âOver the past few months we have seen an increase in calls in North America and globally from the private and public sectors for the oversight and regulation of stablecoins issued by private companies. As a Schedule I (federal) bank with an investment grade rating, VersaBank’s RFIs are very well aligned with the direction these regulations appear to be taking. We are proud to be the pioneers in this field and are very excited about the potential of DDR. “
Alex mcdougall, the President of Stablecorp commented: âExisting stable models have encountered significant challenges in advancing in consumer finance applications due to lack of transparency and regulatory oversight. technology partner of VersaBank. “
“The Algorand Foundation is excited to see how this new regulated approach to stablecoins will accelerate the adoption of cryptocurrency,” said Sean lee, Chairman and CEO, Algorand Foundation. “We are delighted to continue to support VersaBank and Stablecorp as they drive industry-leading financial innovation on Algorand.”
To date, VersaBank and Stablecorp have successfully âcreatedâ DDRs on the Stellar and Algorand blockchains, and designated VersaBank personnel have successfully used created DDRs to perform fictitious transactions. By supporting these businesses, VersaBank and Stablecorp have fully integrated the Bank’s VersaVault digital asset security technology into the typing and burning workflow across all blockchains. All VUSD and VCAD created as part of closed ecosystem testing remain – at all times – under the control of VersaBank.
In addition to the extensive testing, VersaBank’s DDR system is subject to a SOC (System and Organization Controls) 2 audit, which aims to verify the non-financial reporting controls relating to security, availability, processing integrity, confidentiality and system confidentiality. Extended closed ecosystem testing will continue until the completion of the SOC 2 audit, after which VersaBank intends to commercially launch VCAD and VUSD, which is currently scheduled for early 2022.
ABOUT VERSABANK DIGITAL DEPT RECEIPTS (DDR)
VersaBank’s VUSD and VCAD are revolutionary highly encrypted digital deposit receipts (DDRs), with each DDR unit representing a a dollar deposit with the Bank. Thanks to cutting-edge blockchain technology, VUSD and VCAD are easily transferable, allowing them to be used as digital currencies without friction, but with the highest level of stability and security available today.
VersaBank is a Canadian Schedule I chartered bank with a difference. VersaBank became the world’s first fully digital financial institution when it adopted its highly efficient business-to-business model using its proprietary, cutting-edge financial technology to profitably respond to underserved segments of the Canadian banking market in pursuit of net interest superior. margins while mitigating risk. VersaBank obtains all of its deposits and delivers the majority of its loans and leases electronically, with innovative deposit and lending solutions for financial intermediaries that enable them to excel in their core businesses. Additionally, by leveraging its in-house developed IT security software and capabilities, VersaBank has wholly owned, Washington DCbased subsidiary, DRT Cyber ââInc. to pursue important opportunities in the large cybersecurity market and develop innovative solutions to deal with the growing volume of cyberthreats that challenge financial institutions, multinational corporations and government entities on a daily basis.
VersaBank’s common shares trade on the Toronto Stock Exchange (TSX) under the symbol VB and on the NASDAQ under the symbol VBNK. Its preferred shares, Series 1, trade on the TSX under the symbol VB.PR.A.
IN REGARDS TO CANADA STABLE CORP
Canada Stablecorp Inc. is a leading Canadian blockchain technology company focused on building and scaling next-generation, bank-grade digital asset solutions. Founded by 3iQ, from Canada the world’s largest manager of digital assets and Mavennet, a global leader in blockchain development, Stablecorp combines deep institutional financial experience with leading blockchain technology expertise to deliver unique and highly implementable solutions to top financial institutions.
Visit our website at: www.versabank.com
Follow VersaBank on Facebook, Instagram, LinkedIn and Twitter.
View original content to download multimedia: https://www.prnewswire.com/news-releases/versabank-expands-successful-closed-ecosystem-testing-for-revolutionary-digital-deposit-receipts-adds-us-dollar -receipts -algorand-and-ethereum-blockchains-and-receipt-distributor-to-testing-301432666.html
View original content to download multimedia: http://www.newswire.ca/en/releases/archive/November2021/29/c3295.html