The co-founders of the Cardano blockchain, Emurgo Fintech, plans to launch USDA, a stablecoin pegged to the US dollar, in early 2023.
The Emurgo Fintech team announced that USDA will be the first digital asset in the Cardano ecosystem to be fully backed by fiat and comply with regulatory requirements. Emurgo Fintech Director Vineeth Bhuvanagiri outlined the bright prospects that the new stablecoin should bring:
“The introduction of a 100% fiat-backed, regulatory-compliant stablecoin is the next step in realizing the future for our community.”
USDA is part of the Emurgo Anzens product, which will offer users several financial services and products in assets based on Cardano. The plans include lending services, crypto-based bank card payments, bridges between traditional markets and decentralized applications (dapps).
The new asset aims to bolster confidence in the decentralized finance (DeFi) ecosystem Cardano, whose market capitalization has fallen to $53M. This is an 82% drop from March highs of over $300M. USDA is expected to launch on the Anzens platform in the first quarter. 2023.
Users of the platform will be able to tokenize their US dollars into USDA via credit/debit cards, wire transfer, or converting their native Cardano ADA token. Emurgo is partnering with a U.S.-regulated financial company to launch the USDA, whose name is being kept under wraps. The Emurgo team is about to launch USD Coin (USDC) and Tether (USDT) stablecoin conversion to USDA soon with long-term exchange plans for bitcoin, ether and other cryptocurrencies.
Gaming company Wemade recently launched a USDC-pegged stablecoin.
Source: Bits
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