In Brief:
- COTI will be an official issuer of its new stablecoin for Cardano.
- Djed stablecoin leverages smart contracts to ensure price stability.
- Djed operates by maintaining a reserve of base coins while letting users mint and burn stablecoins and reserve coins.
COTI Introduced a new algorithmic Stablecoin called Djed for Cardano Network to expand decentralized finance (DeFi) on the network.
At the Cardano Summit Stage in Laramie, Wyoming, on Sept 26, Charles Hoskinson and Shahaf Bar-Griffen announced COTI platform as the official issuer of Djed, a new Stablecoin for Cardano.
The Djed Stablecoin is based on algorithmic design, which leverages smart contracts to ensure price stability. Recently, Cardano deployed smart contract capabilities onto Cardano mainnet via Hard Fork update. Smart contract programming is also used to ensure that the stablecoin will work effectively for decentralized finance (DeFi) transactions.
Djed operates by maintaining a reserve of base coins while letting users mint and burn Stablecoins and reserve coins. The COTI development team believes that Stablecoins are a “killer app” that will be adopted by crypto-users for settling payment and covering fees. They will convert these $ADA fees to $COTI coins.
Shahaf Bar-Geffen, CEO at COTI Group, stated: “The stablecoin ecosystem has matured tremendously over the past few years. Blokchain Participants are using stablecoins to engage in everyday transactions because they allow monetary value to be exchanged in a seamless manner, regardless of the sender and recipient’s location. I believe that adding the Djed Stablecoin to the Cardano blockchain will significantly improve how transactions are settled on the platform.”
Charles Hoskinson, CEO of IO Global, said: “The Djed Stablecoin could be a game changer in the crypto space. COTI has been a new long-time partner of the Cardano ecosystem, it’s great to have them on board with this new venture.”
