Palau to issue stablecoins for its digital overhaul, president says

Palau will issue a stablecoin to support plans for a digital overhaul of its economy, according to its president.

Fast facts

• President Surangel S. Whipps, Jr. said that the Pacific archipelago was also working on establishing a crypto exchange, a corporate registry and digital wallets for each resident in its digital revamp.

• Palau is planning a “digital residency” program in partnership with blockchain firm Cryptic Labs that would allow anyone in the world to apply.

• “Having been dependent on tourism, we’ve really suffered financially with the pandemic,” Whipps said, adding that: “Leaning into blockchain, starting with this partnership, seemed like a natural step for us.”

• Home to under 20,000 people, 50% of the Pacific island nation’s GDP came from the tourism industry in 2018, which has been severely impacted by the global pandemic.