Cardano’s blockchain network is gaining more decentralised apps and initiatives. MELD, a DeFi protocol that allows Cardano users to lend, borrow, and stake funds, is getting ready to launch a gold-backed stablecoin network.
What Is Cardano?
Cardano is a blockchain platform for changemakers, innovators, and visionaries, providing them with the tools and technology they need to make the impossible possible for the many as well as the few, and to effect positive global change.
What Is MELD?
MELD is the first decentralised, non-custodial banking protocol. It allows you to easily lend and borrow crypto and fiat currency while also earning APY on your MELD tokens.
The surge of Cardano to the top five cryptocurrencies in terms of market value is most likely due to an increase in the number of decentralised applications joining the Cardano network.
The debut of Djed, an algorithmic stablecoin, was announced by COTI, a decentralised payment network that serves as a Cardano payment gateway. A gold-backed stablecoin has now been added to the network.
MELD, a Cardano-based system, has announced plans to develop a stablecoin as the first step toward democratising and making cryptocurrencies more accessible.
“The goal here is simplicity and clarity. Gold will be stored in a vault, tokenized and then fractionalized and divided so we can sell it” stated KEN olling, the CEO of MELD.
David Taylor, head of marketing at Cardano Foundation, shared the announcement on Twitter
Following the current advances in the ecosystem, the Cardano network’s on-chain activity peaked in September. The native asset ADA has 243,000 owners, with 70% of wallet addresses holding the token being profitable.
On top of other blockchains, there are a number of gold-backed stablecoins in circulation. Tether Gold (XAU) was the top gold-backed crypto by market capitalization in March of last year, but Paxos Gold has since surpassed it (PAXG).
According to recent reports, Cardano founder Charles Hoskinson believes the cryptocurrency’s blockchain infrastructure will be good enough to “manage a nation-state” in the future, since he sees Cardano as a solution to many of the world’s governance challenges.