CLPX: A Chilean peso-pegged stablecoin launches on the Stellar network
- CLPX has a total supply of 770,770 coins and has had a trading volume of $12,427 since Monday.
- CLPX is controlled by KB Trading, and the project’s website does not feature any partners.
- Reportedly, CLPX seeks to let global investors use the copper-linked Chilean peso as a hedge.
CLPX, a Chile-based company, has launched the first Chilean Peso-pegged stablecoin on the Stellar payments network. A report unveiled this news earlier today, noting that the coin is dubbed CLPX, and is the first-ever stablecoin pegged to the value of the Chilean Peso. Reportedly, the coin went live on the payments network on Monday, August 9.
According to the report, CLPX is yet to gain popularity despite being more than three days old. The public ledger on Stellar Expert indicates that the stablecoin, which has a total supply of 770,770 tokens, has recorded a volume of $12,427 (£8,972.92) from 12,937 trades.
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Through CLPX, the project seeks to provide a cheaper alternative to traditional Peso-based remittance by leveraging the Stellar Network, which offers lower fees than wire transfers and remittance services. In so doing, the project intends to let investors across the globe use the copper-linked Chilean peso as a hedge.
Data from the World Copper Association shows that Chile is the largest copper producer in the world, and China is the leading importer. To this end, CLPX aims to offer investors exposure to the rapidly expanding Chilean copper market, which has sustained the country’s economy, especially after the onset of the COVID-19 pandemic.
Although CLPX has lofty ambitions for its stablecoin, it is unclear whether the project did its best to stage the coin for success. Apart from having a low trading volume, the project is controlled by KB Trading, a relatively unknown entity. Additionally, the project does not have any listed partners on its website, a trait that raises questions.
Chile maintains an undecided stance on crypto
While the success of CLPX remains uncertain, crypto adoption in Chile shares the same fate, seeing as the country’s regulatory landscape does not offer bullish hints. Nonetheless, the country’s central bank has been researching the blockchain and central bank digital currencies (CBDCs) since 2018 as part of Chile’s Strategic Plan for 2018 to 2022.
Similar to other countries without a defined stance on crypto, Chile is bullish on the blockchain. Purportedly, the country’s national electricity coordinator launched the Renova Initiative, which aims to use blockchain technology to monitor and record renewable energy usage in other sectors apart from the copper industry.
The country is also looking to launch a CBDC, according to Mario Marcel, the Governor of the Central Bank of Chile. Per Marcel, the CBDC would facilitate wholesale and cross-border transactions. However, he cited infrastructure costs, cybersecurity, and anonymity as the primary factors to consider before the country can proceed down this road.