EMURGO will Launch Cardano’s First Regulated Stablecoin, USDA, in Q1 of 2023

EMURGO announced that it has formed a partnership with a U.S.-based regulated financial services company to develop the first fully fiat-backed, regulatory-compliant stablecoin in the Cardano ecosystem.

USDA, the stablecoin developed by EMURGO, will be backed by the U.S. Dollar, combining Cardano’s low-cost, fast and resource-efficient infrastructure with the stability of the USD. The stablecoin will launch before the end of Q1 2023.

Vineeth Bhuvanagiri, Emurgo’s Fintech Managing Director, said that “the introduction of a fully fiat-backed, regulatory-compliant stablecoin is the next step in realizing the future for our community.”

EMURGO says that the USDA stablecoin will solve the ADA price volatility that has been restricting users from taking full advantage of the permissionless and global nature of Cardano. EMURGO tweeted:

The USDA stablecoin is part of Emurgo’s Anzens suite of products. This line is aimed at bridging the gap between “traditional financial institutions (TradFi) and decentralized finance (DeFi) protocols.”

According to EMURGO, the Anzens suite will also include lending and borrowing services, crypto-based card payments, and bridges between traditional markets and dApps.

• The Cardano team, in collaboration with the COTI network, has been developing an algorithmic stablecoin called “Djed” for its ecosystem.