CULedger Credit Union Consortium Launches Blockchain Services Business

A blockchain initiative backed by a group of US credit unions has formed a new organization to support its efforts.

AccessTimeIconAug 16, 2017 at 5:20 p.m. UTC
Updated Aug 18, 2021 at 6:43 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

A blockchain initiative backed by a group of US credit unions has formed a new service organization dedicated to the tech.

As previously reported by CoinDesk, CULedger members are seeking to use blockchain in a bid to reimagine how they exchange data and provide services to their clients.

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • The project has grown steadily since its unveiling in 2016. Now, the credit unions that back it are forming what is known as a credit union service organization, or CUSO, centered around blockchain. A CUSO is a business entity, typically owned by a group of federally chartered credit unions, that provide certain services such as business loan originations or payment card processing.

    In the case of CULedger, the CUSO will function as a bridging point between all of the credit unions that opt to link up with the project's permissioned ledger.

    Rudy Pereira, chairman of the CULedger steering committee, said in a statement:

    "CULedger is an opportunity for credit unions to be leaders of innovation in financial services. Getting involved now in CULedger and CULedger, LCC will offer credit unions the ability to participate in shared-ledger technology that is on path to reshape the credit union industry as a whole in the years to come."

    While a big step for the group, the new CUSO isn't operational yet. Over the next several months, CULedger will host events for credit unions in a bid to find investors.

    As part of that search, CULedger will begin looking for a CEO to take the helm of the venture as well.

    Ribbon cutting image via Shutterstock

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.