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STABLECOINS | South Africa’s Old Mutual Wealth to ‘Provide Deep Liquidity to Emerging Capital Markets’ for the Rand ZARP Stablecoin
Old Mutual Wealth and Inves Capital have unveiled an initiative aimed at boosting liquidity for the ZARP Stablecoin, a cryptocurrency token linked to the value of the South African Rand.
The companies plan is to provide significant liquidity to the ZARP network and encourage its utilization on decentralized finance (DeFi) protocols. The treasury of South African Rand assets supporting the ZARP Stablecoin is currently under the management of Old Mutual Wealth.
This collaboration is being expanded to include the provision of liquidity funding for the ZARP network.
“We are now extending our relationship to explore new frontiers in decentralised finance and provide deep liquidity to emerging capital markets. Crypto is entering a new phase of growth and ZARP is braced to play a central role in representing Rand value in these exciting new protocols.”
Dingle pointed out that regulatory clarity in South Africa has created fresh business prospects for crypto asset service providers (VASPs). He emphasized that stablecoins play a crucial role in the emerging financial system in the region.
“ZARP gives the Rand superpowers, upgrading it to be compatible with the new world of programmable money and enabling new use cases that redefine markets and improve financial inclusion,” he said.
Farhad Sader, Managing Director of Old Mutual Wealth says:
“In 2022, we partnered with Inves Capital to manage the ZARP treasury because we viewed it as an opportunity to participate in a project that was pushing the boundaries of innovation. It was always our intention to extend the partnership, and that is exactly what we are doing now, because we have seen the potential application of the technology first-hand.”
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