DeFi Cardano Skyrockets After Djed's Stablecoin Launch

DeFi on the Cardano network is growing rapidly. (Photo; Doc. TheNewsCrypto)

JAKARTA Cardano (ADA) is a competitor to Ethereum in terms of its utility as a smart contract platform, where developers build various decentralized applications (DApp) in the network. One of them is in the field of decentralized finance (DeFi).

Recently, the DeFi Cardano ecosystem has experienced rapid development along with the emergence of the latest development. This was conveyed by its competitor, the developer of Ethereum.

The entity responsible for Cardano's development, Global Output Input (IOG) acknowledges one of its newest developments, namely the launch of a stablecoin Djed, which ADA has helped strengthen the decentralized financial ecosystem on the Cardano network.

For information, Djed is a stablecoin developed by Cardano and created by COTI Network. Djed has been airing since early 2023. Each Djed token is supported by six ADA coins. This is intended as an effort to keep the coin price stable.

"Working with other blockchains, writing smart contracts on Plutus, handling more tasks, and Cardano networks that are more resilient are stages in developing financial systems that can be used by anyone, anywhere. Another part of the decentralized financial puzzle (DeFi) was added when Djed, stablecoin on Cardano, aired at the end of January. Within one day, Djed pulled 27 million ADA as support and was available on exchanges like MinSwap, MuesliSwap, and Wingriders, "said Global Output Input.

"Six ADA supports each Djed to help keep coin prices stable. This support will open up DeFi opportunities for the Cardano ecosystem, and Djed will be used to settle payments and cover costs," added the Cardano developer.

In addition, they also outline that Hydra, as a layer-2 protocol, has been designed to make the Cardano blockchain more measurable or scalable and able to improve the network significantly.