- Djed didn’t lose its USD peg through the latest turmoil within the stablecoin market,
- Djed’s TVL noticed good points of 17% because the USDC depegging saga,
Cardano’s [ADA] stablecoin Djed, which launched earlier this yr, could quickly increase to different layer-1 networks like BNB Chain [BNB] and Ethereum [ETH].
Learn Cardano’s [ADA] Value Prediction 2023-24
The CEO of COTI, the agency which developed Djed in collaboration with Enter Output HK (IOHK), stated that the growth was at all times a part of the venture scope however they’ll work in direction of it with larger focus.
The CEO added that they obtained a number of requests from non-Cardano DeFi protocols to have the stablecoin launched on their blockchains.
“Djed will likely be on different chains as nicely. Clearly on Ethereum and Binance Good Chain simply to call just a few…as a result of defi ecosystems want a stablecoin that’s steady and dependable.@shahafbg $Djed $Shen $Ada $Coti @COTInetwork pic.twitter.com/eS8j3bxHNJ
— 𓊽 Djed 𓊽 (@DjedStablecoin) March 20, 2023
Likelihood to thrive?
The latest developments within the stablecoin ecosystem put the main target in direction of entities which remained dependable all through the chaos. One in every of them was Djed, which didn’t lose its USD peg.
Infact at one time limit, it traded at a premium towards the USD, per date from CoinMarketCap. In periods of excessive demand, stablecoins are inclined to go above their pegged worth.
Supply: CoinMarketCap
However, cash like USD Coin [USDC], DAI, and FRAX misplaced their greenback peg through the turmoil.
Djed had a 487% reserve ratio, implying that every Djed was backed by greater than 4 instances its worth in ADA. There have been greater than 33 million ADA cash in reserves.
The over-collateralization mechanism was meant to offer safety to Djed towards fluctuating market circumstances, much like the one which caused a downfall of TerraClassicUSD [USTC] final yr.
Nevertheless, it needs to be famous that Djed was nonetheless a newcomer on the horizon. Its buying and selling quantity was a fraction of that of different established cash like USDC and DAI, which performed a giant half in making it proof against macroeconomic triggers.
How a lot are 1,10,100 ADAs value at the moment?
Djed’s contribution to ADA
Djed’s complete worth locked (TVL) noticed good points of 17% because the USDC depegging saga, information from DeFiLlama revealed. On the time of writing, it accounted for 8% of the entire TVL on the Cardano blockchain.
Supply: DeFiLlama
At press time, ADA traded at $0.3449, a marginal improve of 0.15% from yesterday. Bullish sentiments for the coin have been again because the variety of lengthy positions vis-à-vis the brief positions elevated.
Supply: Coinglass
