Switerzland based online bank Dukascopy has announced to launch its own new cryptocurrency “Dukascash”. The Swiss bank has released the Whitepaper on Thursday.

According to the Whitepaper released by the bank. “The main purpose of the introduction of Dukascashis to enhance the use in the blockchain of payment tokens issued by Dukascopy Bank SA.

The Bank intends to issue Dukascash tokens with tickers EUR+, CHF+, USD+and others(at a later stage)to be traded mainly at external trading venues. The denominations are based on the fiat currency, which the Dukascash tokens are planned to be tied to, using a”soft” linking mechanism, which is described below.

The new Dukascash token will be traded by the Bank against the Dukascoin. The Bank intends to start Dukascash emission with EUR+, CHF+and USD+, gradually increasing the list of Dukascash tokens base currencies depending upon clients’demand. For the purpose of simplicity, the EUR based Dukascash token(EUR+)is used in the description of Dukascash by default below.

Dukascash is based on the ERC-20 token standard, same as the Dukas coin(hereafter referred to as “the Coin”). The main difference between a Dukascashsmart-contract and Dukascoin smart-contract is the foreseen additional emissions of Dukascash tokens. Otherwise, the goal of the Bank is to use well developed and verified Dukascoin’s infrastructure for Dukascash as much as possible.

According to the paper, ”The Bank commits to continuously sell and buy Dukascash tokens in exchange for Dukascoins. However, the Bank’s objective is to have Dukascash tokens traded mainly on external trading venues.”

At the initial stage, the Bank does not provide clients with the custody for Dukascash tokens. Later on, the Bank may accept and keep clients’ Dukascash tokens in custody. In the future when the Bank will offer the custody service for Dukascash tokens, it will accept Dukascash tokens from its clients at the exchange rate of 1:1 to the fiat base currency, as a payment for its services.

Kylie Sara

Kylie Sara is from New Zealand. She loves to write about the new things happening around the tech world. She enjoys writing and learning in the process as she believes there is no end to gaining knowledge.
Kylie Sara