Stellar Lumens cooperates with World Bank to improve traceability of loans

  • The World Bank is working with Stellar Lumens to improve the traceability and visibility of its loans.
  • World Bank client countries could benefit from cooperation with Stellar Lumens, according to Stela Mocan.

The Stellar Development Foundation (SDF) successfully concluded its Meridian 2020 conference a few weeks. Over several days, SDF members and guests from multiple sectors in the government and financial industry discussed payment solutions, innovation, and a topic that has become central to all cryptocurrencies, regulatory requirements.

On the third day of the conference, Stellar’s Development Foundation CEO Denelle Dixon spoke with Stela Mocan, Leader of the World Bank Group Technology and Innovation Lab, and former World Bank Group President Jim Yong Kim. Other conference guests included Circle CEO Jeremy Allaire and former PayPal Chief Operating Officer and LinkedIn co-founder Reid Hoffman.

During the conference, a statement did not get the attention it deserved, and a community member has now pointed it out via Twitter. Mocan said that the World Bank and the SDF can “learn things from each other” to create a better experience for their users. The bank representative emphasized that open source technology and digital public goods are tools for achieving that goal.

Mocan added that the efforts and progress made by the SDF and the entities of the traditional financial system can be harnessed by all parties. In a call for collaboration and experimentation with new technologies, the World Bank representative revealed that they have worked with the SDF to make improvements in their financial products:

From our own exploration with blockchain and the Stellar Development Foundation, we looked into how blockchain can help up improve traceability and visibility into our own World Bank loan disbursements. This learning is very important for us, and we are sharing it with our client countries, other teams across the Bank, and the other colleagues in the ecosystem.

Stellar Lumens will enable the access to financial services

For his part, Kim referred to the requirements needed to increase international cooperation with Stellar Lumens. One of his recommendations was to “pick the targets” to drive global changes in governance and regulation.

The former World Bank employee believes that access to platforms like Stellar will be “critical” in the open world of the future. Especially for populations in emerging economies, alternatives like Stellar will allow them to access financial services.

In that sense, Circle’s CEO, Jeremy Allaire, added that the experience with blockchain technology should be easy, to the point of reaching “invisibility for people”. Thus, it will be possible to reach a level of mass adoption in the mainstream.

As reported by CNF, Circle is one of the companies that founded the CENTRE consortium, along with Coinbase. The consortium created the stablecoin USD Coin (USDC) which will be available on the Stellar Lumens network from 2021. The platform will be one of the 4 networks that will host the stablecoin together with Ethereum, Solana, and Algorand.

About Author

Reynaldo Marquez has closely followed the growth of Bitcoin and blockchain technology since 2016. He has since worked as a columnist on crypto coins covering advances, falls and rises in the market, bifurcations and developments. He believes that crypto coins and blockchain technology will have a great positive impact on people's lives.

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