The move comes as DeFi platforms like Curve and Aave try to make their own stablecoins to attract users and grow.
Coin98, a platform for decentralized finance (DeFi), released its own dollar-pegged, decentralized stablecoin on Monday. Its goal is to become a way to move value between different chains.
The move comes at a time when DeFi protocols are racing to make their own stablecoins to attract users and make the platforms more liquid. Curve and Aave, two big names in the DeFi scene, are said to be working on their own stablecoin projects.
Stablecoins are a type of cryptocurrency whose price is tied to another asset, usually the U.S. dollar, and stays the same. They are an important link between government-issued (fiat) currencies and crypto assets. They have grown a lot in the last few years and now makeup $152 billion of the $1 trillion crypto asset class.
Coin98 Dollar, also known as CUSD, started trading on Monday on Ethereum, BNB Smart Chain, and Solana. A Coin98 post says, “Over time, CUSD will slowly grow into other DeFi ecosystems in the world of multiple chains.”
CUSD is a fully collateralized stablecoin that uses Circle USDC and Binance USD held in a Coin98 reserve to back up its value. By depositing USDC or BUSD, users can buy and sell CUSD at a 1:1 rate. At first, there will only be $50 million worth of CUSD available.
A blog post says that Inspex, PeckShield, and SlowMist have checked the smart contract code for the stablecoin.
