Canadian Bank VersaBank Adds Foreign Exchange Conversion Feature to Its Tokenized Deposit Platform

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Crypto World News, March 18 — Canada’s licensed bank VersaBank has added foreign exchange conversion capabilities to its tokenized deposit platform, allowing users to perform real-time USD to CAD conversions on a blockchain-based platform. This feature utilizes Real Bank Tokenized Deposits (RBTDs) to enable 24/7 real-time currency exchange, aiming to improve cross-border transactions by reducing reliance on traditional foreign exchange channels. RBTDs are tokenized versions of bank deposits that can be transferred on blockchain infrastructure and are liabilities of the issuing bank, backed 1:1 by customer deposits. Unlike stablecoins issued by non-bank entities, which operate within traditional banking systems, RBTDs are integrated into the bank’s infrastructure. This update marks a step in the platform’s commercialization process, as VersaBank has been piloting its tokenized deposit system since last year.

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