Cardano Introduces ‘Djed,' An Innovative Stablecoin For The Fast-Growing Ecosystem

 

According to a partnership announcement made on Sunday at the Cardano summit in Wyoming, Cardano's new stablecoin, Djed, will now be issued by the COTI platform.

Djed, a collaboration between IOG, Cardano's Emurgo, and Ergo Blockchain, is based on an algorithmic design that uses smart contracts to ensure price stability, improving usability in DeFi operations. It functions by maintaining a reserve of base coins and minting and burning stablecoins and reserve coins.

Djed, the first formally verified stablecoin protocol, was created to address various issues raised by existing fiat-pegged stable coins such as USDT and USDC, such as a lack of transparency and liquidity.

Djed will function as both a stablecoin and a transaction coin.

According to COTI, Djed will be more than just a stable coin built on Cardano; it will also serve as Cardano's ultimate coin, with which the network's entire fees will be paid. This will assist users in predicting how much transaction fees will cost, removing the volatility associated with gas fees, which is a major source of concern across multiple cryptocurrency networks.

Djed will be available in two different versions. One of them will be the Minimal Djed, which is designed with utmost simplicity without sacrificing the coin's stability to improve user interaction. The Extended Djed is a more complex version of the first.

COTI Group CEO Shahaf Bar-Geffen confirmed the collaboration, saying,

"The stablecoin ecosystem has matured tremendously over the last few years." Stablecoins are used by blockchain participants in everyday transactions because they allow monetary value to be exchanged seamlessly regardless of the sender and recipient's location. I believe that adding the Djed stablecoin to the Cardano blockchain will significantly improve the platform's transaction settlement.'

Cardano Co-Founder Charles Hoskinson praised the move as well, claiming that the Djed stablecoin could be a game-changer for the next-generation crypto-financial ecosystem, appealing to an entirely new audience at a time when the crypto-financial ecosystem needs new blood.

Facebook is investing $50 million to develop Metaverse-Mark Zuckerberg

Facebook today announced the XR Programs and Research Fund, a two-year initiative to fund both internal and external research as the company investigates the future of online social interactions. According to the announcement, it is a "starting point" for Facebook as it attempts to collaborate.

Facebook a metaverse, company-Mark Zuckerberg

With an eye on a metaverse-driven future, the company appears to be attempting to stay ahead of the critics through careful investment and collaboration. Mark Zuckerberg, co-founder and CEO of Facebook, stated in June that the social media giant is on a path to become a "metaverse company." Now, the company is putting its money where its mouth is, announcing plans to invest $50 million over the next two years in helping to bring the metaverse to life.

Metaverse

The metaverse, in essence, refers to shared online spaces in which users—represented by 3D avatars—coexist and interact with one another. It has already been depicted in films like "Snow Crash" and "Ready Player One," and Ethereum-based metaverse worlds like Decentraland (shown above) and CryptoVoxels already exist. Another notable example is the upcoming game The Sandbox.

Along with enabling new social and gaming experiences, proponents of the metaverse believe it will also help to change the nature of work and provide new digital economic opportunities to users all over the world. It's similar to how DAOs, or decentralized autonomous organizations, are being built to disrupt traditional business models.

Metaverse and Facebook collaboration

It's heady, potentially revolutionary stuff, which is why some metaverse builders are alarmed at the prospect of Facebook taking the lead in metaverse development. Faced with criticism for its track record on user privacy and misinformation, Facebook announced today that it will build metaverse products “responsibly” through this initiative.

“We will collaborate with experts from government, industry, and academia to think through issues and opportunities in the metaverse,” according to the official announcement. “For example, its success is dependent on establishing strong interoperability across services, so that the experiences of different companies can complement one another. We must also include human rights and civil liberties, advocates.

The Organization of American States, Women in Immersive Tech, and African organizations Electric South, Africa No Filter, and Imisi3D are among Facebook's initial partners in the $50 million initiative. On these efforts, the firm will also consult with researchers from Seoul National University, The University of Hong Kong, and the National University of Singapore.

Regardless of how these early efforts develop, Facebook has already stated that it does not intend to create or manage the eventual metaverse on its own. And this is most likely just the start of a long process.