Cardano founder Charles Hoskinson has lauded the network's stablecoin, DJED, for maintaining a 99.9% stability rate over the past two years. Despite a recent depeg to $0.55 during a market downturn, DJED swiftly recovered to its intended value within five hours. Hoskinson highlighted that DJED is designed to recover from such fluctuations rather than maintain minute-by-minute stability.
DJED operates using an over-collateralized mechanism, backed by ADA and SHEN, with a collateral ratio ranging from 400% to 800%. Currently, DJED is trading at $0.99 with a market cap of $3.28 million. Hoskinson is also exploring the introduction of a tier-1 stablecoin on Cardano, including potential collaborations with Ripple to integrate RLUSD into the network.
Cardano's DJED Stablecoin Achieves 99.9% Stability Despite Recent Depeg
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