Today was day 1 of the Cardano Summit kicking off in Scotland at the IO ScotFest finishing off in Lausanne, Switzerland on Monday. I only watched this as the head of Coti Shahaf was doing a presentation on DJED the Cardano stable coin. Not much news was gained from this as this was basically already stuff he and the team have covered already.
Watch from 7hr 46 s it is only a 20 minute piece full of interesting stuff.
What was interesting was at 7hr 55 in the video Charles Hodgkinson mentioned they knew Luna would collapse. They knew as they have been working on DJED for over 2 years now alongside Coti and they had to try every model imaginable. Simulations were done and they could see the short comings in that model. This would make sense as they mentioned the Luna model alongside a bank run would end up in disaster. They didn't short Luna, but could have was his comment. Not surprising Luna failed as he called it obvious and how many others saw the fragility creating the collapse? If something was so obvious why weren't there any warning signs by the investors or were they just blind being swept up in the frenzy? This is where people need to speak up, but then again the Luna community is a competitor so rather let them fail taking billions of dollars with them.
Back to DJED with another point that was raised is they being Coti expect to use this model where a stable coin backed by Cryto is used in other areas like CBDC's. Not surprisingly talks have already taken place at higher levels where and how this can benefit everyone where CBDC's are not backed by FIAT. Decentralization is the key as humans are what mess things up so having the code in place removing human involvement is how DJED is built.
Quite a bit if information was gathered from the one on one chat with Charles and Shahaf 7 min 46 or so on the video if you are interested. Firstly there will be staking of DJED in the Coti Treasury which will most likely be a wrapped version. This we will expect to see some time next year which is something to look and listen out for. This will be one of many tokens for investors to get involved with as SHEN is the other being the stable coin reserve where staking will also be available.
Shahaf mentioned that the tipping point has been reached with many projects still climbing on board with DJED so this is only the beginning with 40 projects listed so far. They expect to see DJED as one of the biggest stablecoins out there as they want to win the DeFi wars. USDC has a $44 billion market cap currently and if DJED can get close or surpass it as a Coti investor I will be over the moon.
I do believe in the value of providing a service and why I invested in Coti as I see where they are heading. Services mean fees which end up in the treasury as APR which as a staker I earn.
The launch date of Djed will be announced on Monday at the close of the summit which is the 21st November as expected. Whatever that launch date may be GCoti (governance token airdrop) launches before that so these are defintely exciting times especially in a Bear Market that has had a fairly rough few weeks. Do your own research as it can be good fun when you find a project you believe and invest in.