Switzerland crypto-friendly bank Sygnum in conjunction with cryptocurrency platform Coinify and Galaxus, Switzerland’s largest online successfully completed an e-commerce transaction using Sygnum’s stablecoin.
First e-Commerce Transaction Using Stablecoin
Sygnum announced the news of the transaction via a press release on Thursday (August 27, 2020). According to the post, the e-commerce transaction was a world-first with the bank’s stablecoin called Digital Swiss Franc (DCHF).
The e-commerce transaction conducted on the Galaxus online platform was enabled by Coinify. Also, the use of the stablecoin in the e-commerce sector connects customers and online retailers, while also eliminating fraud, lowering cost, and providing a simpler and faster payment process for customers.
Sygnum Bank launched the DCHF token in March 2020 and the stablecoin is pegged to the Swiss franc 1:1. The bank earlier obtained a banking and securities dealers license from the Swiss Financial Market Supervisory Authority (FINMA).
Commenting on the latest payment method, Martin Burgherr, Chief Client Officer for Sygnum bank, said:
“This transaction is a further proof-point of the value of Sygnum’s DCHF and its potential to drive digital transformation in major global industries like e-commerce and payments. We continue to innovate and foster partnerships such as this to accelerate the development of the global digital asset economy”
Galaxus executive Thomas Fugmann also said that using DCHF makes it easier for customers both in Liechtenstein and Switzerland to carry out transactions on the company’s online stores. The Swiss online retailer became one of the first e-commerce platforms to accept cryptocurrencies as a payment means back in 2019.
Growing Use of Cryptocurrencies as a Payment Option
More companies and businesses continue to integrate cryptocurrency as a payment means for faster and cheaper transactions.
As reported back in May, e-commerce giant Shopify in conjunction with crypto payments platform CoinPayments, introduced cryptocurrency as a payment option on the e-commerce platform. There were also reports this August about a development that will see holders of Cardano’s native coin ADA, pay with the digital coin at more than 500 online stores on Shopify.
Furthermore, Coca-cola and Amatil and Centrapay entered into a partnership that will enable residents in Australia and New Zealand to buy Coca-Cola with Bitcoin. Travel agency Expedia and Travala also collaborated to make customers book hotels with cryptocurrency.