Ripio Launches wARS Stablecoin Backed by Argentine Peso

Ripio, a Latin American crypto exchange, is the latest to launch a new stablecoin called wARS. All stablecoins are pegged to a fiat cryptocurrency, and in this case, wARS is backed by the Argentine peso. Noteworthy, Ripio had previously released a tokenized sovereign bond, all part of a broader push to bring Real-world Assets (RWAs) to blockchain rails.

Ripio’s wARS Goes on Ethereum, Base, and World Chain 

Ripio exchange has launched wARS, an Argentine peso-pegged stablecoin. According to a report from local news outlet La Nacion, the digital asset went live on several blockchains, including Ethereum, Coinbase’s Base, and World Chain, reflecting its interoperability. Users can now send and receive funds globally, even without using banks.

They are also not required to convert to US dollars. The launch is quite significant as it coincides with the season just after Javier Milei and his administration crashed the country’s inflation from 292% in April 2024 to its current level of 31.8%. Going forward, Ripio plans to roll out stablecoins for other Latin American currencies.

Paxos Launch USDL in Argentina 

Apart from Argentina, some other regions in Latin America like Brazil is popular for stablecoins. Last year, Paxos International, the UAE-based entity of Paxos, released a new yield-bearing stablecoin called Lift dollar (USDL). It chose Argentina as the initial market for its debut. Also, it provides an annual yield of approximately 5%, in addition to offering a “risk-free” return to its holders. 

Charles “Chad” Cascarilla, who is a board member of Paxos International and CEO of Paxos, noted that the USDL stablecoin is designed to deliver consistent returns by being backed one-to-one with the USD. Its other backings are US dollar deposits, short-duration U.S. treasuries, and cash equivalents.

Stablecoin Regulations Boost Adoption 

The introduction of stablecoin regulations is instrumental to the blooming outlook of this asset class. The Canadian government is preparing to debut a clearer regulatory framework for stablecoins. As it stands, it is looking to include the new rules in its federal budget scheduled for November 4. 

A few onths ago, Nigeria’s Securities and Exchange Commission (SEC) publicly expressed its support for stablecoin businesses. It also noted that is is important to implement robust regulatory measures to achieve this feat. With such comprehensive regulation in different regions, stablecoins are likely to be a global sensation.