PANews reported on August 27th that VersaBank, a provider of B2B digital banking and cybersecurity technology solutions, announced that its wholly-owned subsidiary, VersaBank USA, has launched an internal pilot program in the United States (the "USDVB Pilot Program") for its USDVB, the U.S. dollar version of its proprietary digital depository receipt (DDR). Developed exclusively by VersaBank using its proprietary technology, DDR is a bank-issued tokenized deposit. It is a highly encrypted, 1:1 digital equivalent that offers greater security, stability, and regulatory compliance than physical cash deposits and offers greater security, stability, and regulatory compliance than stablecoins.

Consistent with a similar pilot program the Bank completed in Canada, the USDVB pilot program is designed to demonstrate the functionality, security, and operational integrity of VersaBank USA DDR in a U.S. dollar environment and ensure compliance with U.S. banking regulations, including the Bank Secrecy Act (BSA) and the U.S. Office of Foreign Assets Control (OFAC).