According to a recent report, the world’s first stablecoin pegged to the price of legal cannabis has been launched. The man behind the release of this new stablecoin is Greece based billionaire, Alkiviades David.
The Swissx Global Hemp Exchange
Swissx Bank of Cannabis (SBC), is said to be the company in charge of managing activities surrounding the stablecoin. According to the press release which confirmed the launch of the product, the Swissx Bank of Cannabis (SBC), aims to provide the legal cannabis industry with a secondary market.
Along with the launch of the token, the Swissx Global Hemp Exchange, a trade forum which will aid the project’s expansion internationally was also launched.
The dedicated token — SWX Coin, is reportedly backed by hemp seeds worth $750 million and 250 million Swiss francs ($252 million). This token is said to be the first stablecoin pegged to cannabis-related markets.
“…We’ve used Swiss financial know-how to create the first bank and cryptocurrency entirely optimized for the legal cannabis industry,” David, said
“The Swissx Global Exchange will be an authoritative resource for the entire industry. Together, the Bank and Currency and Exchange don’t just insure Swissx’s international operations run perfectly, it will become the engine for the fastest growing business sector in the world.” He continued
According to Swissx, the low-grade cannabis sector will be worth $24 billion in the US alone by 2023.
With the exception of low-grade preparations of under 1% THC, cannabis consumption remains illegal.
However, these products are plagued with high tax, thereby generating huge tax revenue, totalling over 15 million Swiss francs ($15.22 million) in 2018 alone.
While announcing the launch of the coin, the Swissx Bank of Cannabis also took the opportunity to announce a new addition to its board. Denzil Douglas, former prime minister of crypto-friendly St. Kitts & Nevis is now a board member of the company.