Avanti Bank & Trust has announced plans for a ‘stablecoin disruptor’ that is designed to modernize U.S. dollar payments.
According to a July 23 announcement, Avanti said that the payment instrument- ‘Avit,’ is not a security and predicted it “will likely be treated as a cash equivalent” by regulators.
Top story: Avanti Financial Group Announces Accelerated Charter Application – Avanti https://t.co/ml61WOnYCi, see more https://t.co/BoHcMI7iIZ — José Antonio Bravo (@jabravo) July 23, 2020
Avit will be programmable via Avanti’s API and believes Avit will see adoption among:
“institutional traders and corporate treasurers,” while describing the monetary commodity as:
“a real-time payment settlement solution in US dollars that does not suffer from the delayed settlement and chargeback issues of traditional payment solutions, or the legal, accounting, and tax issues of stablecoins.”
Avanti also revealed that the Wyoming Division of Banking has accepted its application for a bank charter on July 15, bringing the targeted launch date for its banking business forward to October of this year.
Avanti CEO and Wall Street veteran, Caitlin Long said:
“Our charter application incorporates truly novel ideas that have received detailed scrutiny from multiple regulators’
“It is the culmination of an enormous effort by Avanti’s fantastic team — several thousand hours of planning and work with regulators, and hundreds of pages of supporting policies, procedures and documentation.”
Long also expressed delight with the U.S. Office of the Comptroller of the Currency’s July 22 announcement permitting federally chartered banks to custody crypto assets:
1/ GAME ON! The @USOCC's announcement that it's following #Wyoming by allowing national banks to custody #digitalassets is GREAT news for #crypto! Long overdue & hopefully will help U.S. regain ground it lost to other developed world countries by dilly-dallying for so long. pic.twitter.com/ODYM6bHSVZ — Caitlin Long 🔑 (@CaitlinLong_) July 23, 2020
Long says that Wyoming had a massive lead over rival states in making it happen, having already spent two years “developing its digital asset custody initiative”:
“The OCC and 49 other states do not yet have in place the comprehensive legal structure necessary for enabling digital asset custody without significant legal risk..They also do not have a roadmap for courts to adjudicate disputes involving digital assets and do not provide the certainty in bankruptcy that Wyoming provides for digital asset custodians.”