The DeFi MELD protocol will issue the first Cardano gold-linked stablecoin. At the same time, EMURGO announced an investment fund to boost the DeFi ecosystem of said network.
Cardano, the third-largest blockchain by market capitalization, will soon receive its first gold-backed stablecoin. Meanwhile, a $ 100 million fund seeks to drive developments in decentralized finance (DeFi), non-fungible tokens (NFT), and other educational efforts within it. Blockchain.
The first gold-backed stablecoin
The DeFi liquidity protocol, REPORT, announced on Thursday of this week plans to launch a stablecoin backed by physical gold on the network Cardano. The co-founder of the platform, Ken Olling, advanced the plans during a cryptocurrency event organized by the British newspaper City AM.
As he commented, REPORT has partnered with the African Agricultural Technology Platform Tingo Holding International Y Ubuntu Tribe, an ethical firm that tokenizes natural resources, to carry out the initiative in Cardano. “Our goal here is simplicity and clarity”Said Olling. He explained that the stable value of the precious metal will be used as collateral for the digital currency.
The gold will be stored in a vault, tokenized, and then fractionated and divided so that we can sell it.
“The idea is to democratize access”Added Mamadou Kwidjim Touré of Ubuntu Tribe. “It’s a game changer in the way people will access and create wealth“.
The stablecoins Backed in gold are not a new concept in the cryptocurrency space, where there are several such tokens, including Tether Gold (XAU ₮), issued by Tether, the operator of the USDT-backed stablecoin. However, it should be noted that this would be the first token of its kind for the network Cardano.
The news comes shortly after the founder of Cardano, Charles Hoskinson, will announce during the conference Cardano Summit that the payment company COTI will issue a stablecoin algorithmic linked to the dollar in said network.
EMURGO invests USD $ 100 million in Cardano ecosystem
In other advertisements, EMURGO, the commercial arm of Cardano, presented this week a fund whose objective is to promote the growth of the ecosystem Cardano. In a release, the company announced an investment of USD $ 100 million that will support startups focused on Cardano, including DeFi, NFT projects, educational tools and other decentralized applications.
The CEO of Emurgo, Ken Kodama, had anticipated the launch of the investment vehicle over the weekend during Cardano Summit. At that time, he assured that the investment “would accelerate the development of the Cardano ecosystem“. Kodama added in the statement:
We are more focused than ever on accelerating the development of the Cardano ecosystem with a rich mix of decentralized services serving a global community that is increasing in general blockchain awareness.
For his part, Hoskinson added that the new Investment fund “will help shape the future of the Cardano ecosystem“.
Emurgo, one of the founding entities of Cardano which provides solutions for developers, businesses and government, also recently announced plans to direct additional funds to the African firm Adanian Labs, which uses artificial intelligence and Blockchain.
Hannah Estefanía Pérez’s version / Daily bitcoin
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Cardano to have gold-backed stablecoin as $ 100M fund boosts DeFi and NFT