Cardano (ADA) Commercial Arm Unveils Plan To Launch Fiat-Backed Stablecoin Pegged to US Dollar
The commercial branch of the Cardano (ADA) blockchain is revealing plans to launch a new fiat-backed crypto asset pegged to the US Dollar.
In a new announcement, EMURGO says that it is gearing up to launch USDA, the first ever USD-backed stablecoin for the Cardano ecosystem, early next year.
According to EMURGO, the stablecoin was created to shield investors and Web3 firms from volatility within the crypto markets by combining the enduring stability of the US Dollar with the high security, low fees, and eco-friendliness of the ADA blockchain.
The company also says the crypto asset is guaranteed to be backed 1:1 and is fully in line with current regulations, noting that the product aims to bridge the gap between traditional finance and decentralized finance (DeFi).
“EMURGO has partnered with a regulated financial services company based in the United States to custody cash deposits, assuring the stablecoin is fully compliant and adheres to regulatory guidelines.
Backed by ‘real-world’ assets, USDA provides strong, long-term price stability that may eventually lead to unlocking more reliable financial services to the Cardano ecosystem.
USDA is the first product being brought to market within [Anzens and] EMURGO’s new product suite which aims to bridge the gap between traditional finance and DeFi.”
EMURGO’s Anzens product line will provide a portal to products offered on the Cardano blockchain as well as allow users to tokenize their dollars and move them as native ADA assets, according to the announcement.
EMURGO was launched early this year as a means of accelerating the development of decentralized applications (DApps) on Cardano. It was rolled out in two stages: the first offered a modular tool kit and the other granted developers access to ADA’s ecosystem.
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Featured Image: Shutterstock/Jorm S