Tether are set to announce a new stable coin that will be pegged to the Chinese renminbi according to secondary sources.
Zhao Dong, a trader and a shareholder of crypto exchange Bitfinex which owns Tether revealed the move on WeChat, saying Tether plans call the stablecoin CNHT.
He is also involved with RenrenBit, which will support trading and deposits for CNHT once it is launched.
Zhao told CoinDesk that he thinks the new stablecoin will be “launched very soon, possibly within weeks.” and the stablecoin’s reserve is believed to be held in a bank in Belgium.
In May, eToro brought a yuan-backed stablecoin called “CNYX,” to the market but that is pegged to onshore yuan (CNY).
From a traders perspective this is great news for international transfers as transfers from other major currencies to renminbi can be expensive due to the spreads. Also from a speculative perspective, it will really boost the popularity of stablecoin to Bitcoin and Ethereum transactions.