Cardano’s (ADA) First Algorithmic Stablecoin Goes Live on Public Testnet


Ethereum competitor Cardano (ADA) has teamed up with blockchain payments ecosystem COTI to launch a new algorithmic stablecoin.

In a new blog post, COTI says that Djed, the first-ever algorithmic stablecoin built on the smart contract platform, has gone live on its public testnet.

“We are excited to announce that after months of intense work along with the Cardano team, the public testnet version of Djed is now released!

Djed is a decentralized, algorithmic stablecoin that is built on Cardano. An algorithmic stablecoin maintains stability through a combination of collateral and a reserve token.

In this case, Shen is Djed’s reserve coin and has the role of ensuring price stability – specifically it guarantees the collateralization rate and the peg of the stablecoin.”

According to COTI, the testnet will serve as a way to ensure that Djed and Shen are both technically sound, stable, secure and redeemable after protocol upgrades. COTI says that the Djed mainnet is slated to launch sometime in June of this year.

Cardano creator and Input Output Hong Kong (IOHK) CEO Charles Hoskinson first announced Djed as a project last July. He said that the plan was to eventually incorporate the stablecoin into Plutus, ADA’s smart contract protocol.

“One of the things we’re doing with this stablecoin [project] – after we clean it up a little bit more, because it’s so involved and there are so many moving pieces to it that have to be carefully thought about – is actually implementing it into Plutus as a Plutus native application.”

Cardano is changing hands at $0.783 at time of writing, a 13% decrease from its seven-day peak of $0.897.

Check Price Action

Don’t Miss a Beat – Subscribe to get crypto email alerts delivered directly to your inbox

Follow us on Twitter, Facebook and Telegram

Surf The Daily Hodl Mix

&nbsp

Check Latest News Headlines

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Featured Image: Shutterstock/Tithi Luadthong/Natchapol18

Original Source: https://dailyhodl.com/2022/05/08/cardanos-ada-first-algorithmic-stablecoin-goes-live-on-pu…

Disclaimer: Cardano Feed is a Decentralized News Aggregator that enables journalists, influencers, editors, publishers, websites and community members to share news about the Cardano Ecosystem. User must always do their own research and none of those articles are financial advices. The content is for informational purposes only and does not necessarily reflect our opinion.





Read Full Article

spot_imgspot_imgspot_img

Latest articles

Related articles

Leave a reply

Please enter your comment!
Please enter your name here

spot_imgspot_img