5 months ago
Date: 21 Nov 2022 - 18:12
Shahaf BarGeffen CEO of COTI a stablecoin development company revealed the launch date for Cardanos new algorithmic stablecoin at Cardano Summit on Monday.After a successful audit the overcollateralized DJED token will go live in January 2023.What is DJEDDJED is Cardanos attempt to create a pricestable digital asset backed by ADA the networks native cryptocurrency.By sending ADA to a given smart contract address on Cardano users will receive the same dollar value worth of DJED in return. Likewise by sending 1 DJED back to the smart contract the sender will receive 1 worth of ADA.This model could theoretically collapse if ADA were to experience major downside volatility causing circulating DJED tokens to no longer be fully backed. As such the smart contract will also include a reserve currency SHEN to cover ADAs price fluctuations ensure price stability and guarantee a collateralization rate of 400800.SHEN holders will be rewarded with fees every time someone exchanges DJED or SHEN for ADA or vice versa creating an incentive to hold the token and help maintain the stablecoin peg ratio.Unlike DJED Shen will not be pricepegged leaving it open to volatility just like ADA. However the smart contract will prevent anyone from minting new SHEN tokens once the smart contract reaches a maximum threshold in order not to dilute existing holders.Recent market events have proven again that we need a safe haven from volatility and Djed will serve as this safe haven in the Cardano network said Shahaf BarGeffen. Not only do we need a stablecoin but we need one that is decentralized and has onchain proof of reserves.Proof of ReservesProof of reserves is a growing trend among crypto industry giants in the aftermath of FTXs fallout in which the exchange went bankrupt after allegedly misappropriating depositors funds for lending activity. This left the exchange unable to satisfy client withdrawals following a bank run earlier this month.Rival exchanges including Binance and Bitstamp have agreed to provide blockchainbased proof of reserves to ensure customers that their funds remain safe at all times. Grayscale however the owner of the worlds largest Bitcoin fund GBTC refused to provide such transparency this weekend citing security concerns.Reserve transparency is a longtime expectation for stablecoin providers which rely on adequate reserves to satisfy token redemptions at all times. Tether the issuer of USDT has faced years of scrutiny over the legitimacy of its 60 billion reservesbut has thus far managed to satisfy redemptions when under stress.Organizations like Terra have attempted to design algorithmic stablecoins that remove the requirement for trust in a centralized issuer. However the ecosystems UST and LUNA tokens both collapsed to zero in May making industry participants and regulators wary of similar models.The three top stablecoins USDT USDC and BUSD are all backed solely by cash and US Treasury bills per their latest attestation reports.The post Cardanos Algorithmic Stablecoin DJED to Launch in January 2023 appeared first on CryptoPotato.
Read in the sourceShare this page
Crypto Overview Show morenavigate_next
| USDT Market | Price | Change (24H) | Market Cap | Last 7 Days |
|---|---|---|---|---|
|
39997.79 $ | 0 % | 760.32 Billion $ |  |
|
3001.33 $ | 0 % | 360.05 Billion $ |  |
|
1.001 $ | 0 % | 82.65 Billion $ |  |
|
398.86 $ | 0 % | 59.29 Billion $ |  |
|
1.004 $ | 0 % | 50.96 Billion $ |  |
|
101.49 $ | 0 % | 33.28 Billion $ |  |
|
0.122 $ | 0 % | 31.52 Billion $ |  |
|
0.7024 $ | 0 % | 30.96 Billion $ |  |
|
82.96 $ | 0 % | 29.44 Billion $ |  |
|
0.9455 $ | 0 % | 29.42 Billion $ |  |
Crypto News Show morenavigate_next
Supporting the uptrend the number of NFT holders grew 32.24 over the past three months as evidenced by data from NFTGo.
Robert Ellison noted that a regulatory framework for staking is achievable because the concept is very easy to understand.
Consolidation of law enforcement activity sends a clear message to the industry It is time to comply.
Polkadot prices rose early in the trading day breaking over the 18.51 barrier level.Price movement was optimistic hitting as high as 18.88 despite a 20 drop in trading volume.Current trends indicate that selling pressure will increase as volatility rises.After almost seven weeks of oscillation the 21 January selloff caused DOT to relinquish its oscillating pattern of 29.923.11. Ever since the bear
There have been over 130 tweets in the last hour calling for Binance to 8220stop scamming8221 as the worlds largest crypto trading platform has been suspending or even blocking accounts of African largely Nigerian users.Other users posted that scammers should stop complaining about being scammed and that the closed accounts belonged those who committed fraud or had relation to scam activities. Som
Two million BNB tokens worth roughly 590 million were transferred to a newly generated wallet to an address that Tether then blacklisted. The blacklisting was highlighted by a Tether bot on Twitter fueling the rumor of one of the years biggest hacks.20221006 2124 USDT blacklisted 0x489a8756c18c0b8b24ec2a2b9ff3d4d447f79bec in block 15691728 httpst.coqhyr8eHU84mdash usdt blacklist usdtblacklist Octo
Binance has chosen crypto payment processor TripleA as its new universal crypto payment gateway for its Binance Pay payment feature on its mobile applications.The new partnership would play an essential role in helping extend the global use of Binance Pay according to a June 10 press release. Speaking on the development Binance Pays Regional Head of Business Development Pakning Luk said8220This ce
XRP Ledger XRPL is seeing tremendous demand for its NFT hosting ecosystem months after Ripple launched its NFTfocused Creator Fund.In a blog dated April 7 Ripple announced that it had seen incredible momentum and exciting NFT use cases come to life on the XRPL with a list of leading creators joining its NFT ecosystem which is focused on bringing tokenized projects the metaverse gaming and art to l
Vertochain VERT is a new crypto project to enter the market and is currently in presale. With its primary focus on DeFi and using blockchain technology to support this VertoChain seems to have strong potential to see big success after its launch. But how does it compare to established coins such as Ethereum ETH and Solana SOLVertoChain VERTVertoChains mission is reflected in its name. Chain is jus
Prominent crypto industry figures have taken to social media to condemn Russias invasion of Ukraine.
Mai Capital Managements chief equity strategist and regional president Chris Grisanti has predicted that this year will be tough for crypto largely due to regulations. However he expects established cryptocurrencies such as bitcoin and ether to do quite well once regulations come into focus.13Equity Strategists Crypto Predictions13Mai Capital Managements Chris Grisanti shared his outlook for the c
After a relatively minor market correction yesterday Ethereums price surged past the 1600 level currently attempting to establish new support. While Bitcoin also saw substantial price growth over the past 24 hours Ethereum is leading the bull rally after the conclusion of EthCC this week the largest European blockchain conference bringing together crypto enthusiasts worldwide.Ethereums 24Hour Trad
PRESS RELEASE 8211 Please Read DisclaimerGeneva Switzerland June 28 TRON user accounts have reached 100048526 officially breaking the 100 million ceiling according to data from the blockchain browser TRONSCAN as of June 25. On the same day TRON Mainnet celebrated its 4year anniversary since network independence.Launched in May 2018 the mainnet of TRON is one of the three major public chains wor
Blockchain analytics firm Chainalysis highlighted that 10 of all funds coming from illicit addresses are sent to crypto mixers.
The current craze about NFTs has attracted more projects in the blockchain space. In response to the insatiable demand Anonverse launched its NFT project on Binance. The projects primary goal is to help pull more traffic and incubate Anonverses influence.The event took place on February 19 and in one second 1000 Crypto war.V NFT Mystery Boxes had been sold out. During the launch users enjoyed aird