ZARU Stablecoin Live on Circle's Arc Blockchain, Expanding Rand's Global Reach
A new rand-denominated stablecoin called ZARU has gone live on Circle's Arc blockchain, marking a significant step for South Africa's entry into global digital asset markets. The stablecoin is issued by BlockTower under a license from the Financial Sector Conduct Authority and is fully backed by South African rand held onshore.
Each ZARU represents one rand, and the reserves are managed by Sanlam Specialised Asset Management under an asset liability management agreement. The launch aims to address some of the constraints faced by the rand in cross-border foreign exchange, including reliance on correspondent banking infrastructure and limited trading hours.
Luno will serve as the primary exchange venue for ZARU/USDC liquidity, providing trading infrastructure and access to its institutional client base. Institutional market makers are expected to add liquidity to the pair as the platform develops.