Cardano's Djed Stablecoin Project Receives Major Revamp

• Charles Hoskinson has verified the Djed stablecoin project’s continuous existence.
• There is renewed optimism for the Djed project thanks to Charles Hoskinson’s declaration.

Cardano’s creator Charles Hoskinson has addressed speculation that the Djed stablecoin may be phased out. In a recent post on twitter, he announced that Djed is not only staying put, but will also be undergoing a major revamp that will give this overcollateralized stablecoin a second chance at success. And he said they were “supercharging the team” working on the stablecoin.

In contrary to rumors, Charles Hoskinson has verified the Djed stablecoin project’s continuous existence and highlighted its upcoming development. The stablecoin stands out due to the fact that it is overcollateralized, using the native ADA token on Cardano as collateral.

Renewed Optimism

Moreover, Djed’s fourfold over-collateralization is one of its strongest features. Thus, guaranteeing that the circulating supply is supported by four times the amount of outstanding coins. Djed users benefit from the increased stability and security provided by this method. 

However, problems arose for the project when its reserves fell to more than 350%, causing a temporary stop in the minting of new tokens owing to low activity.

There is renewed optimism for the Djed project thanks to Charles Hoskinson’s declaration. IOG, the development firm behind Cardano, has made tactical adjustments to improve Djed’s prospects. Particularly noteworthy is that on October 24, a spin-off firm was founded specifically for the stablecoin industry, with W. Sean Ford as CEO and David Markley as COO.

Meanwhile, COTI CEO Shahaf Bar-Geffen congratulated Sean and David on taking the helm, saying he looked forward to working with them to grow the Djed ecosystem.

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