Copy link
Increase text size
Decrease text size
Link copied

Marshall Islands form development fund to establish its national cryptocurrency SOV

Ericmetro [Public domain]

Wed, 05 Jun 2019, 05:05 am UTC

The Republic of the Marshall Islands (RMI) has created a non-profit organization to help the government establish, maintain, and implement the country’s national digital currency called the sovereign (SOV), according to a press release posted on Business Wire on Tuesday.

The SOV Development Fund aims to develop and maintain the long-term SOV framework, promote SOV and its uses domestically and internationally, help establish a crypto-based environment around the SOV, and smooth the SOV volatility by selling and buying SOV against USD.

“We are designing SOV in a way that will not place any burden on the government finances. The currency funds itself,” David Paul, the Minister In Assistance to the President, said in a pre-recorded video presentation.

The SOV, which is the island nation’s new official currency and legal tender, will run on blockchain with built-in compliance features that meet the standards of the Financial Action Task Force (FATF), Know Yor Customer (KYC), Counter Financing of Terrorism (CFT), and Anti-Money Laundering (AML).

The corporation will be governed by seven Board of Directors. Of which, two will come from the Government of the Marshall Islands and another two from the SFB Technologies. The last three will be elected by the four appointed directors from among experts in the fields of blockchain, banking, and monetary management.

Qualified majorities are needed to make all major decisions and make sure that the fund operates with “prudence and stability” and follows all obligations.

Once the SOV is established, RMI aims to shift to a blockchain-based governance model. The SOV will be gradually launched beginning 2021 with an initial issuance of tokens and a fixed yearly inflation rate of 4% thereafter.

The fund will be endowed with 30% of the total SOV currency in circulation.

Meanwhile, the US State of Montana also started recognizing utility tokens, exempting them from being considered as securities under the local rules.

The Bahamas also proposed a new framework to regulate the issuance and sale of digital tokens to lure blockchain business and crypto investments.

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $7,188.94 (-1.26%)
  • Ethereum (ETH) $142.64 (-2.67%)
  • XRP (XRP) $0.224600 (+0.84%)
  • Bitcoin Cash (BCH) $205.73 (-1.24%)
  • Litecoin (LTC) $43.83 (-1.84%)
  • Bitcoin (BTC) $7,188.94 (-1.26%)
Dec 12, 2019 (Thursday)
08:40
Consensys shuts down India, Philippine offices; 11 people axed by the closure
07:43
SEC chairman says DLT can foster capital growth; Revealed that agency has been studying digital assets
06:47
Crypto Technicals: XRP/USD capped at 20-DMA, on track to test trendline support at 0.1975
06:47
Napoleon Bitcoin Fund launches in France to cater institutional investors
06:39
Digital assets are here to stay; State Street survey reveals continued institutional interest
06:03
Crypto Technicals: ETH/USD dips below 140 mark, eyes trendline support at 132
05:37
Enterprise Ethereum Alliance, Chamber of Digital Commerce partner on tokenization efforts
04:42
Square Crypto awards grant to pseudonymous Lightning contributor ‘ZmnSCPxj’
04:42
Crypto Technicals: Bitcoin hits 2-week lows below $7100, bearish bias with rising volatility to see more weakness
03:35
Russian power grid company to use blockchain technology to solve massive energy debt issue
03:14
Elliptic launches a risk-assessment tool for banks to identify trustworthy crypto exchanges
Dec 11, 2019 (Wednesday)
12:54
Wu Jihan once again takes over the helm at Bitmain as CEO
12:36
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
12:35
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:52
China securities watchdog appoints former head of PBoC Digital Currency Institute: Report
11:07
Crypto Technicals: ETH/USD consolidates below 5-DMA, scope for further weakness
10:52
Nike secures patent for blockchain-enabled “CryptoKicks”
09:44
BitPay rolls out stablecoin payments for merchants and consumers
08:52
Ripple improves Xpring platform to boost growth of XRP developer community
07:42
Crypto Technicals: BTG/USD extends weakness below 5-DMA, momentum strongly bearish
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft