Cardano (ADA) Stablecoin DJED Launches on Liqwid Finance

DJED is now available for lending and borrowing on Liqwid.

A man swimming in outer space in front of a DJED symbol.
  • Liqwid Finance has announced the launch of its DJED market.
  • DJED is now available for lending and borrowing on Liqwid.
  • Liqwid has also prompted SPOs to upgrade liquidation bots.

Cardano (ADA) is having an impressive start to 2023. The ecosystem is actively announcing new developments and partnerships, with the show-stopper being the possibility that the Age of Voltaire is inching closer, which will propel the ecosystem toward full decentralization.

Liqwid Finance is a decentralized interest rate protocol for lending on Cardano, and DJED is Cardano’s pioneering decentralized stablecoin.

Sponsored

On March 2nd, 2023, Liqwid Finance announced the successful launch of its DJED market, as well as the “addition of qDJED as a collateral for the ADA market.”

Lending and Borrowing DJED

Liqwid Finance has stated that the front end of the DJED market is live and that the protocol will monitor the infrastructure around the launch to ensure a “smooth roll-out.”

In addition, Liqwid Finance has also considered DJED’s risk parameters, which are listed as 75% maximum loan-to-value (LTV), 80% liquidation threshold, and 10% liquidation bonus. Liqwid has also prompted stake pool operators (SPOs) to upgrade liquidation bots to the latest version, ensuring that “future updates to these bots should be just a `docker pull` away.”

In effect, DJED is now available for lending and borrowing on Liqwid, and lenders are responsible for supplying liquidity to the market and earning interest on their deposits.

Sponsored

Adding a lending and borrowing mechanism to DJED provides additional liquidity, and the stablecoin is made exchangeable for other crypto and fiat currencies, extending its use cases on DeFi platforms.

At the time of writing, DJED is recording a 24-hour trading volume of $351,965 and a reserve ratio of 527%.

On the Flipside

Why You Should Care

The launch of DJED stablecoin on Liqwid Finance provides additional liquidity and use cases for Cardano, particularly extending the ecosystem’s reach on DeFi platforms.

Read more about Cardano’s decentralized stablecoin DJED:
DJED: Cardano’s Decentralized Stablecoin

Read more about DJED’s official launch:
Cardano’s Djed Stablecoin Hits Official Release

This article is for information purposes only and should not be considered trading or investment advice. Nothing herein shall be construed as financial, legal, or tax advice. Trading forex, cryptocurrencies, and CFDs pose a considerable risk of loss.

Author
Monique Brelage

Monique Brelage is a South African cryptocurrency news reporter at DailyCoin focused on the Cardano (ADA) and Solana (SOL) ecosystems. She aims to convert complex topics into digestible and engaging news pieces for readers of all knowledge levels.   Before her journey with DailyCoin, Monique has immersed herself in the realm of NFTs and Web 3.0 since 2019. Her experience in multiple industries enables her to conduct critical analyses and convert it into her writing. She acknowledges the profound impact decentralization, Web 3.0 technology, and everything beyond will have on the future.   Monique completed a Bachelor of Communication from NWU in 2020. Her background in media studies, creative writing, and philosophy helped shape her method of news curation, thereby ensuring a broader perspective to help readers remain critical of what they see. Monique's articulation, writing quality, and work ethic are professional qualities she takes pride in.   Monique lives on a farm in South Africa with her partner and cat. She works on her NFT and tattoo art in her free time, and enjoys the natural world around her. She likes reading material that broadens her perspective, indie music, and video games to blow off some steam.