Tech Mahindra to launch ‘stablecoin-as-a-service’ tool for banks

Indian IT giant Tech Mahindra and Dutch blockchain incubator Quantoz will develop a service oriented toward financial institutions for integrating stablecoins.

We are very proud and happy to partner with @tech_mahindra to offer our StableCoin as a Service solution to US banks!

More information, also about our upcoming StableCoin webinar, on our website: https://t.co/5jCkz3juvl

— Quantoz (@Quantoz) April 6, 2021

A ‘stablecoin-as-a-service’ solution would allow banks to use stablecoins as a means of payment. According to the partners, it could potentially reduce transaction costs and processing times, while ensuring security and auditability.

“Banks can reap significant benefits from stablecoins. Their adoption will enable competition in the fintech market that is transforming payment systems, and help prevent customers from leaving to other service providers,” said Rajesh Dhuddu, head of blockchain and cybersecurity at Tech Mahindra.

As part of the partnership, the Indian company will help clients integrate Quantoz’s Nexus blockchain platform into their existing infrastructure. It automates crypto- and fiat-transaction processing. The platform also provides loyalty-program management, remittances, payments and reserve oversight.

In India, lawmakers are considering a ban on cryptocurrencies in the country. The government has said it continues consultations with the Reserve Bank on regulating digital assets, and the decision will not be so harsh.

However, media reports indicate that the move involves the introduction of criminal liability for traders and miners. Additionally, authorities are discussing the possibility of blocking IP addresses of crypto exchanges and companies.