Custody Vantage launches first 'bank-issued stablecoin'

Crypto-friendly bank Custody is teaming up with Vantage Bank to tokenize US dollar demand deposits and issue them in Ethereum.
According to Cointelegraph on the 26th (local time), Custody, a bank specializing in digital assets in Wyoming, USA, announced on the 25th that it will issue the first bank-issued stave cryptocurrency in the US.
Custody said that "a new US dollar settlement rail has been activated within the US banking system." The stablecoin is
It can be issued, transferred and redeemed through the ERC-20 token standard on Ethereum. Custody CEO Kei Trinh Long said, "We are taking a pioneering role in the legal and regulatory aspects.
"By participating in this study, we have demonstrated that U.S. banks can tokenize demand deposits onto a permissionless blockchain in a regulatory compliant manner."
Texas Vantage Bank CEO and Chairman Jeff Synnott called the issuance "an important step in reshaping the financial landscape."
"This is a pivotal moment," he said, "and shows how blockchain and stablecoins can revolutionize the way payments are made."
KEI Trinh Long wrote in a post by X, "Abit stablecoin is
"It's not a synthetic dollar, it's a real dollar," he said.
This contrasts with Board Chair Waller's February 12 speech in which he called stablecoins "synthetic dollars."