Myanmar’s first entirely crypto-based banking institution, the Spring Development Bank, is set to launch on July 22, offering increased access to financial services and funding for the country’s shadow government, led by the exiled National Unity Government (NUG).
Catering to 55 million Burmese citizens and the two-million-strong Burmese diaspora abroad, the bank will operate on the Polygon blockchain. Moreover, it will facilitate faster and more efficient domestic and international payments, along with providing a wide range of global financial products.
Speaking on the condition of anonymity for security reasons, a Spring Development Bank official highlighted that adopting cryptocurrency is a natural and logical way to support Burmese civilians and the exiled government, making it a vital fundraising tool for the NUG. Although the bank was not created by the NUG, it has been launched with its full support and resources. Additionally, the bank is expected to operate under the supervision of the NUG-controlled interim central bank of Myanmar.
Meanwhile, CEO Calvin T has announced the bank’s launch as an initial step towards Myanmar’s financial freedom restoration.
In the same vein, Tin Tun Naing, Myanmar’s interim central bank governor and acting minister for finance and industry, lauded the bank as a “revolutionary” institution designed to counter the military-controlled financial system and provide a trustworthy government-guaranteed alternative.
Another challenge the Spring Development Bank aims to address is high fees associated with remitting money to Myanmar traditionally— which currently stands at 30%. As such, it will leverage the Polygon ecosystem to offer cost-effective and sustainable solutions.
On stablecoins, the bank plans to issue several new fiat-pegged stablecoins, including the Myanmar kyat, Thai baht, Singapore dollar, and the U.S. dollar. Users can seamlessly exchange stablecoins using the bank’s “currency swap” feature built on UniSwap V3.
Quoting the unnamed bank official, Myanmar’s National Unity Government (NUG) has a history of violence and imprisonment against residents who could have the wrong app on their phones. Thus, the bank has designed its user interface as a web-only platform.
“The bank’s interface will look and feel like an application, but we encourage everyone to access it using their incognito window so it doesn’t store any browser history,” the official explained.