Cardano-Backed Algorithmic Stablecoin Djed Hits Mainnet
After much anticipation from the Cardano community, the network developers have finally launched the ecosystem’s overcollateralized stablecoin called ‘Djed.’ Per the announcement, the stablecoin launch comes after its successful security audit and development testing for over a year.
Djed is a community-driven Cardano-backed algorithmic stablecoin which is also a product of Coti, a decentralized financial (DeFi) solutions developer on the Cardano blockchain. Since its disclosure, Djed has been one of the anticipated news in the crypto market, especially for ADA investors, as they believe it is a good enough catalyst to move ADA significantly.
Djed Stablecoin Hits Mainnet
Though Djed launched earlier today, the stablecoin has already achieved a few listings on Cardano platforms. Currently, Djed is available on djed.xyz, MinSwap, Wingriders, and MuesliSwap. Bitrue will be the first centralized exchange to list Djed, and in the future, Djed is expected to be listed on other top platforms in the Cardano ecosystem, according to the announcement.
As projected before its launch, Djed will be a linked bedrock to open up opportunities for the Cardano ecosystem. Following that, the developers have acquired more than 40 partnerships to enable the proper utilization and adoption of the Djed stablecoin.
Furthermore, Djed is pegged to the United States dollar and backed by Cardano’s native cryptocurrency, ADA. The token uses the Shen (SHEN) token as its reserve coin. Over the coming months of this year, Djed will go through two other versions of upgrades, according to the announcement.
Version 1.2 will be the first upgrade that will use the Vasil features, including a reference script to enhance the token’s scalability. The second upgrade, Djed 1.3, is the extended Djed version that will introduce dynamic fees and prices, as well as allow for a more advanced delegation program to be supported, resulting in significant liquidity provision.
“Part of our future plans for Djed are to add other assets aside ADA as collateral to mint DJED. Our plan is to add other coins, especially wrapped assets, like wrapped BTC (WBTC) and wrapped ETH (WETH) as collateral to mint DJED on the Cardano Network,” the report noted.
ADA Imitates Network’s Growth
The Djed algorithmic stablecoin is just one of the latest updates rejuvenating the Cardano network. Earlier this month, co-founder Charles Hoskinson announced that the ecosystem would expand via custom-built sidechains. While the network has continued to grow in ecosystems, the native token ADA has also not been left behind.
In the past weeks, ADA has climbed multiple higher highs surging by over 50% in the past 30 days while obtaining the 8th position in the highest cryptocurrency by market capitalization. At the time of writing, ADA has only had a slight retracement and is down by 0.8% with a 24-hour trading volume of $358.8 million.
Featured image from The Altcoin Oracle, Chart from TradingView