- Littio introduces dollar-based savings accounts using OpenTrade’s RWA vaults.
- The alliance intends to provide secure financial services to unbanked Latin Americans.
Littio, a Colombian neobank focused on addressing Latin America’s currency devaluation crisis, has teamed with OpenTrade to launch real-world asset (RWA) backed yield vaults powered by the Avalanche network. This agreement allows Littio to offer its consumers yield-bearing savings pots. These savings pots feature returns supported by US Treasury Bills, creating a robust financial solution.
The integration of OpenTrade’s RWA yield vaults highlights the continued expansion of Avalanche’s on-chain finance ecosystem, allowing Littio to operate on scalable and set infrastructure. Littio takes an innovative approach to bridge the gap for millions of unbanked citizens in Latin America. Traditional banking services often fall short in meeting their needs.
OpenTrade’s B2B2C model allows firms with access to a wide range of on-chain financial products, such as loans for US Treasury Bills, structured credit, and supply chain finance. This attempt comes as tokenization gains recognition for offering solid financial products. It proves valuable in combating high inflation and currency volatility in the region. In 2022, Latin America accounted for 9.1% of worldwide crypto value, approximately $562 billion, with a 40% increase in digital asset use.
Littio’s mobile banking app enables tens of thousands of users to access dollar-based savings accounts. The region has severe obstacles to banking access, with around 70% of the population unbanked by 2021. Littio intends to give consumers a secure and cost-effective way to convert pesos into dollars (via USDC) as well as save, transfer, and spend funds with a Littio debit card. Since the debut of Yield Pots, Littio has processed over $80 million in transactions. In the past four months, the platform has earned approximately $250,000 in customer returns.
Transition to Avalanche for Growth
To accommodate rising demand, Littio is transferring its Ethereum holdings from OpenTrade’s vaults to those on Avalanche. The network’s EVM compatibility, quick transaction completion, and minimal fees make it an attractive option for institutional applications. Its reliability further enhances its appeal for managing tokenized assets.
“Littio and OpenTrade demonstrate how Avalanche’s technology can provide underbanked populations with compelling products and services,” said Morgan Krupetsky, Head of Institutions & Capital Markets at Ava Labs. As Littio continues to innovate, it aims to provide users with previously unavailable financial tools.
Users can access OpenTrade’s USDC/EURC Yield Pots directly through the Littio app. This integration paves the way for a more inclusive financial future.
