PegNet is built on the Factom Protocol and allows conversion to pegged tokens that track a wide range of currencies. This will allow users to maintain their value in a large set of currencies and assets, and make payments in any of the other pegged currencies and assets without a third party.
Paul Snow, CEO of Factom Inc., the blockchain innovations company that built the Factom Protocol, said:
“Today’s announcement represents the latest milestone effort of our team of developers behind the Factom Protocol. The strong wave of momentum we’ve been experiencing is a testament to their ingenuity, and continued persistence to address market demand across a myriad of industries. PegNet enables solutions to a host of financial services use cases, and I’m excited to see these solutions take shape.”
Greg Forst, Marketing Chair of Factom Protocol, added:
“Protracted processes and high transaction fees have hindered the mainstream adoption of digital assets. The network of pegged tokens provides a mechanism for managing payments across jurisdictions that bypass the slow and expensive processes associated with external third parties. We want consumers to be able to make payments with any of the assets in the PegNet (such as assets pegged to Bitcoin or Gold), and allow the merchant to convert those payments into the assets they need (like assets pegged to US Dollars or Euros). All without the friction of going through exchanges or payment processors.”
With PegNet, users have the ability to pay people in any of 32 assets without going to an exchange or trading with another party. Additionally, transaction costs are about 1/10th of a cent, making them ideal for microtransactions.
By providing high throughput, low fixed cost, and secure data entry that easily integrates with existing systems, the Factom Protocol solves the data integrity needs of today. Using blockchain technology, the Factom Protocol enables the efficient, immutable publication of data, benefiting people and companies by providing a source of indisputable truth and verification to all parties.