• Djed, a Cardano-based overcollateralized stablecoin, is set to launch next week.
• Djed will be integrated with over 40 Cardano-based decentralized finance applications (dapps) upon launch.
• DjedPay, a payment app that uses djed, will allow users to transfer the tokens to merchants and businesses.
Cardano, the decentralized open-source blockchain network, is set to launch its own stablecoin, Djed, next week. Developed by IOG, the Cardano code maintainer, and Coti, a layer 1 blockchain, Djed is an overcollateralized stablecoin that requires more than 400% in collateral value to be posted before it is issued to a user. This mechanism is designed to ensure that Djed’s value holds stably during market stress and to prevent a repeat of what happened with TerraUSD, the infamous stablecoin linked to luna, which fell more than 99% in May.
At launch, Djed is expected to be integrated with over 40 Cardano-based decentralized finance (DeFi) applications, or dapps. This is significant, as according to DefiLlama data, the Cardano dapp ecosystem is currently locking up over $72 million worth of tokens. Additionally, developers have also created DjedPay, a payments application that uses Djed, which will enable users to transfer the tokens to merchants and businesses.
The launch of Djed is highly anticipated and is expected to bring a lot of activity to the Cardano network. With its overcollateralized mechanism, it will give users the ability to make quick and reliable payments, as well as provide merchants with a secure and stable form of payment. Furthermore, its integration with the Cardano dapps will open up new possibilities for users to interact with each other and take advantage of the DeFi applications available. All of this could lead to increased adoption of Cardano and a more vibrant ecosystem overall.