Kast launches their own reward-based stablecoin USDKy.
The announcement comes together with M0, a leading stablecoin issuer focused on providing white-label stablecoin issuance solutions to enterprises. USDKy stablecoin is backed by U.S. Treasury bills and is part of Kast’s new USD Prime Vault for customers wishing to earn on their account holdings.
The mechanism behind this is that the USDKy balances are held inside of self-custodial Privy wallets, with a varying APY depending on the rate offered from the reserves.
At present, there appears to be no strict lockup periods or limitations on withdrawals. The intention is for global customers have both a daily spending balance natively with their new USDK stablecoin, as well as a savings account earning yield via the USDKy stablecoin.
Both companies are continuing to build and grow in the space, as M0 had partnered with MoonPay in March and Kast had announced an $80M raise to scale operations.
