Solana
Etherfuse and Brale Introduce Real MXN Stablecoin on Solana and Stellar Networks
- Etherfuse has partnered with Brale to launch Real MXN (MXNe), a stablecoin backed by Mexican peso bonds on the Solana and Stellar blockchain networks.
- The new stablecoin targets cross-border remittances and redefines the interaction between the Mexican economy and global finance.
Stablecoins represent $161 billion in market capitalization globally and are among the most traded on most exchanges. However, almost all stablecoins are based and backed by the US dollar, leaving out billions of people who rely on other currencies. Etherfuse and Brale are looking to change that for Mexicans, launching Real MXN to redefine on-chain remittances, payroll and finance for the North American nation.
Etherfuse revealed the new stablecoin, which is also called MXNe, this week, revealing that it will launch on the Solana and Stellar networks. Shortly after, it was made available on Base, the Ethereum Layer-2 network launched by the American exchange Coinbase.
According to the Etherfuse team, the new stablecoin will offer fast transactions and low fees, catering to the decentralized and traditional financial sectors.
Remittances will be a key target market for the stablecoin. Mexico ranks only behind China and India globally in remittances received, which reached more than $51 billion last year. However, remittances remain inaccessible to those who need them most, and when they can access them, they pay exorbitant fees to banks and players such as Western Union and Moneygram.
Etherfuse CEO Dave Taylor said the new stablecoin “has the potential to revolutionize the way we transact and capture value”, further describing it as “a 1,000 meter leap in the future of payments.
He added:
Finally, MXNe is an opportunity for everyone. Soon we will provide tools to Mint, Burn and use MXNe and allow everyone to participate in capturing value from the MXNe they created.
When unveiling the stablecoin at a recent event, Dave note that the bond that backs it is rated BBB and will offer its holders yields of up to 9%. Additionally, the Mexican peso was the best-performing major currency last year, further reducing risk. As a reminder, crypto holders who turn to yield farming and staking earn between 6% and 9% while exposing their portfolios to much riskier activities.
Brale, whose platform allows users to easily create stablecoins, believes that the new MXNe stablecoin will “support Mexican merchants and consumers through reduced conversion fees and by retaining value in the local community.”
The new stablecoin received a lot of support from the crypto community, with the Solana team comment:
Whenever someone tells you there are no real use cases for crypto, talk to them about stablecoins and how they could contribute to global financial inclusion. This seems quite simple to me.
The Stellar team congratulated Etherfuse and Brale, comment: “Creating global financial access is kind of our thing. We are happy to see this cemented.
Indeed, benefiting from financial inclusion is Stellar’s model. The network has more than 80,000 hotspots worldwide and has partnered with leading players across multiple markets to reach marginalized people. As CEO Denelle Dixon declared At Paris Blockchain Week recently, the network seeks to ensure that money moves with the speed and cost-effectiveness of an email.
This is an ambitious goal and, as Dixon acknowledged, it can only be achieved if the blockchain industry works together. While networks like Stellar are miles ahead of their competitors when it comes to technology, Dixon believes that interoperability would allow the entire ecosystem to benefit from each other’s advancements.
