UW Collaborates on First-Ever Geolocation-Triggered Digital Payment Using Tokenized Bank Deposits

A pioneering demonstration of geolocation-triggered payments using stablecoin technology recently was conducted by the University of Wyoming, Texas Christian University (TCU), Custodia and Vantage Bank.

 

“The effort marks a milestone in the real-world application of programmable money and blockchain-powered financial technology,” says Steve Lupien, the Ada Lovelace director of the UW Center for Blockchain and Digital Innovation (CBDI).

As part of the pilot demonstration, Lupien and TCU Professor Kelly Slaughter, of its Neeley School of Business, successfully executed a peer-to-peer digital payment using Avits™, a tokenized form of a U.S. dollar developed by Custodia.

 

The transaction triggered when the Lupien and Slaughter arrived at a location during drives from their respective campuses to state capitals -- Laramie to Cheyenne by Lupien and Fort Worth to Austin by Slaughter -- symbolizing the leadership of Wyoming and Texas in blockchain policy.

 

“This collaboration with Custodia and Vantage Bank is a powerful example of how academic institutions can play a leading role in validating emerging financial technologies,” Lupien says.

 

The payment leveraged Custodia’s patented technology for tokenized U.S. dollars (U.S. Patent No. 11392906), which enables programmable automation of bank payments. The transactions highlight potential applications across sectors including logistics, construction and digital commerce.

 

Custodia and Vantage Bank officials say they continue to support blockchain education initiatives in Wyoming and Texas, aligning with UW’s mission to lead in blockchain innovation and public-private collaboration.

 

Jeff Sinnott, president and CEO of Vantage Bank, says the geolocation-triggered payment functionality that leverages programmable money to automatically enforce payment conditions was developed in response to customer demand.

 

 “With tokenized deposits, customers can enforce payment rules and conditions automatically, ensuring transactions are executed as intended,” Sinnott says. “Multiple customers in the logistics and construction industries wanted these services, and we plan to make them broadly available.”

 

“Custodia and Vantage are bringing stablecoin technology to traditional banking business and doing it better, faster, cheaper,” says Caitlin Long, CEO of Custodia. “Vantage and Custodia are delivering purpose-built services for banks -- the originators of most payments -- which are a green-field market for stablecoin technology. We have built our services for banks using an API first ‘headless core’ coupled with pre-built, white-labeled apps so any bank can leverage these capabilities with minimal friction.”

 

Lupien says helping businesses implement innovative technology is among the CBDI mission goals.