CEO of People Allocate One Card International Group CO. LIMITED Man Fai Vito Ng has recently stated that the company will launch its own cryptocurrency. However the main function of the new cryptocurrency will be utility. PAOcoin will be used for wholesale payments of PAOcard private banking and is not considered to be for investment purposes just yet. There are two main reasons for this decision.
The first one is a strategic one. Cryptocurrencies are highly risky investment instruments, so it is better to exercise control over the business than letting it get out of hands.
The second reason is business competition. Wholesale cross-border payments involve moving large amounts between banks as part of a complicated process of international transactions.
These movements have traditionally been carried out by banks and usually takes up to 24 hours.
But at the moment global banking is on its way to operate on blockchain. Blockchain uses the distributed ledger technology which can track and control transactions while maintaining a high level of compliance with requirements. And cryptocurrency allows carrying out transactions in real time that gives this method an edge over more traditional ones.
PAOcoin is expected to go into testnet towards summer.
It is recalled that in 2018 a private banking project PAOcard was launched by People Allocate One Card International Group CO. LIMITED. At the moment the private banking service alongside with debit multi-blockchain cards operated by VISA can be used in more than 25 countries. There are 6 cryptocurrencies available with PAOcard at the time (Bitcoin, Bitcoin Cash, Litecoin, Ethereum, Dash and Ripple). This list is expected to be extended up to 20 cryptocurrencies towards the end of 2019. The simplicity of the service, maximum security and competitive conditions are among the criteria that help PAOcard to develop rapidly and consolidate its positions in the market.