The chief executive of Cordite Society Limited, a UK-registered cooperative made up of former bankers, is touting a new token designed to correct potential shortcomings of early-generation cryptocurrencies.
The cooperative’s new XDC token is built on the Public Corda Network, an open-source blockchain developed by R3, a firm focused on creating distributed ledger technology (DLT)-based financial solutions. Coincidentally, XRP is also supported by the Corda Network.
Cordite CEO Richard Crook, a former executive at the Royal Bank of Scotland, tells CoinDesk that XDC is built from the ground-up to satisfy the demands of international regulators like the Financial Action Task Force (FATF).
“Regulators have set the requirements for what a digital currency needs to be, and that’s exactly where XDC fits in. It meets the requirements of most jurisdictions as a digital currency and is therefore a step ahead. We’re a next-generation Bitcoin or XRP.”
XDC is an exchange token “designed to meet the basic functions of money,” according to the asset’s white paper. In contrast to Bitcoin, the supply of XDC is not fixed. Cordite Society members can use their Cordite node to vote whether to decrease or increase XDC’s Minting Rate every 28 days.
The Cordite new money supply of its native asset is distributed evenly among the cooperative’s voting members.
In addition to challenging the value of fixed-supply-tokens, XDC is also designed to be an environmentally friendly project. The Cordite Society says that its blockchain will not use proof-of-work, and expects XDC to “have a fraction of the carbon footprint of other digital currencies.”
The token will not be offered as a means to raise funds for the company, but rather is meant to encourage and reward participation in the Corda Community and to exist as a store of value for its members.
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