Emurgo, the commercial arm and a foundational member of the Cardano blockchain is set to launch the first stablecoin dubbed USDA on the Cardano network. According to the announcement on Emurgo’s webpage, USDA, a regulatory-compliant stablecoin fully pegged to the US dollar is the first product launched under its Anzens suite.
Emurgo’s Anzens was designed to bridge the barrier between traditional finance and Decentralized Finance (DeFi). It will deploy the Cardano ecosystem to create solutions for challenges like maintaining a web3.0 balance sheet and making card payments directly with crypto amongst others faced in the industry.
To assure users of its regulatory compliance, Emurgo is in partnership with an unnamed regulated financial services company based in the US. The regulatory-compliant stablecoin is expected to launch in the first quarter of 2023
After the launch, users will be allowed to tokenize their USD into USDA, they will also be able to convert other stablecoins like USDC and USDT to USDA. There are also plans to allow the swaps and conversions of cryptocurrencies including Bitcoin (BTC) and Ethereum (ETH).
Generally, the launch of the US dollar-pegged stablecoin could help change the fortunes of the Cards DeFi ecosystem.
Cardano’s Co-founder Shares Thoughts on the Industry
Meanwhile, Charles Hoskinson, co-founder of Cardano (ADA) believes Cardano will serve as a network of blockchains with a number of other sidechains linking to it. Charles recently said Dogecoin should become a Cardano sidechain, and he is eager to assist the meme coin with the migration for free.
Recently Charles also predicted that cryptocurrencies will see a lot of adoption following the failure of multiple governments’ national fiat currencies. Additionally, the Cardano founder like many other enthusiasts in the crypto space bared his thoughts on FTX’s sudden fall, according to him this may be the last negative event for the bear market before it recovers and thrives again.
The collapse of the FTX ecosystem has had a series of negative cascading effects on the industry as many backers of the exchange including Temasek are already writing down their investment in the platform.