Major Aussie bank takes next step to AUD stablecoin after Chainlink test transaction

ANZ’s banking executive Nigel Dobson says the bank sees “real value” in tokenizing real-world assets on-chain like the Aussie dollar.

Australia and New Zealand Banking Group is one step closer to launching its bank-issued stablecoin A$DC after the bank successfully executed a test transaction on Chainlink’s Cross-Chain Interoperability Protocol.

ANZ’s banking services portfolio lead Nigel Dobson said the transaction was a “milestone” moment for the bank in a Sept. 14 statement:

“ANZ recently worked with Chainlink CCIP to complete a test transaction to simulate the purchase of a tokenised asset, facilitated using A$DC and an ANZ-issued NZ-dollar-denominated stablecoin.”

Dobson said the firm has been experimenting with several networks — presumably to test out where the ANZ’s Australian dollar stablecoin can be best utilized:

“We’re actively exploring the use of decentralised networks through a ‘test-and-learn’ approach,” the ANZ executive said.

As Australia and New Zealand Banking Group (ANZ), one the world’s largest global banks with over $1 trillion in total assets under management, demonstrates the use of CCIP for secure cross-chain stablecoin transactions, the role of Chainlink and CCIP as a standard for interbank… pic.twitter.com/qdehsUX4rQ

— Sergey Nazarov (@SergeyNazarov) September 14, 2023

Dobson said ANZ sees “real value” in tokenizing real-world assets like the Australian dollar, a move that could potentially transform the banking industry:

“Tokenised assets are already changing the way banking works, and the technology has the potential to do more — if the right pieces can come together.”

ANZ minted the first A$DC stablecoin in March 2022, becoming the first Australian bank to do so. National Australia Bank became the second a year later with its AUDN stablecoin on Ethereum.

However, NAB and some of its peers — Commonwealth Bank of Australia, Westpac and Bendigo Bank — recently imposed restrictions and, in some instances, full blocks on bank transfers to several “high-risk” cryptocurrency exchanges.

These banks cited the need to protect customers against cryptocurrency scams as the main reason behind imposing the restrictions.

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