Marshall Islands debuts on-chain UBI with USDM1 bond backed by U.S. Treasuries
The Marshall Islands launched the world's first on-chain Universal Basic Income using a U.S. Treasury-backed sovereign bond, USDM1, on the Stellar blockchain.Summary
The Republic of the Marshall Islands (RMI) has successfully executed the world's first on-chain disbursement of Universal Basic Income (UBI) through its national ENRA program. This was achieved using a new, digitally native sovereign bond called USDM1, distributed via the Stellar blockchain in partnership with the Stellar Development Foundation (SDF) and Crossmint. USDM1 is a U.S. dollar-denominated bond fully collateralized one-to-one by short-term U.S. Treasury bills, held by an independent trustee. The funds are delivered instantly to eligible citizens through a custom wallet app called Lomalo. RMI officials stressed that this initiative is a fiscal distribution program, not a currency initiative, and does not compromise the nation's monetary sovereignty, emphasizing that the structure is based on settled law and legally enforceable redemption rights.
(Source：CoinDesk)