Stablecoin issuer Paxos has launched a yield-bearing stablecoin in Argentina. Available through leading crypto platforms Ripio, Buenbit, Manteca, and Plus Crypto, this new offering, dubbed USDL, aims to maintain its value to the dollar and offer users an opportunity to earn daily earnings from US government securities and cash equivalent assets.

Powered by Ethereum Smart Contracts

Ronak Daya, the Head of Product of Paxos International, said: "Lift Dollar is the first stablecoin designed to benefit token holders. Token holders and distribution partners receive daily yield through an Ethereum smart contract, with all the benefits of a regulated, trusted stablecoin platform."

"Our targeted launch in Argentina will ensure millions of token holders will now have safe access to US dollars that enables them to not only save and transact but also earn daily yield. We are pleased to work with these trusted platforms and look forward to growing our partnerships throughout the year."

According to a statement by Paxos, this yield is derived from a reserve of US government securities and cash equivalents, managed under the stringent supervision of the Financial Services Regulatory Authority of Abu Dhabi Global Market. This ensures that USDL is backed 1:1 by US dollars.

USDL reportedly uses an Ethereum smart contract to distribute the daily yield directly to token holders without requiring any additional action on their part. The launch of USDL in Argentina is part of Paxos’ effort to enhance financial inclusion in the region through partnerships.

Expect ongoing updates as this story evolves.