Cardano stablecoin issuance plus ADA developers partner to create better smart contracts with Chainlink
Chainlink integration gives Cardano (ADA) developers the ability to integrate secure oracles into their dApps.
- Cardano (ADA) developers can now use Chainlink to create better smart contracts.
- The collaboration will allow Cardano to use Chainlink to move tamper-proof data from off-chain sources to on-chain smart contracts.
- Cardano announced first stablecoin issuance on the network
Chainlink is excited to announce a strategic partnership with Input Output Hong Kong (IOHK), the developers of Cardano, one of the top cryptocurrencies in the world. As part of this new collaboration, Chainlink will provide critical infrastructure services for the Cardano ecosystem, and IOHK has adopted Chainlink’s technology for their own projects.
With a fresh collaboration with Chainlink, Cardano is scaling up its decentralized finance (DeFi) smart contract creation. The upgraded crypto asset will include the Chainlink oracle integration services for developers on the ecosystem, thanks to this partnership.
The parent company, InputOutput (IOHK), of the blockchain project announced this at the Cardano Summit 2021.
According to published information on the collaboration, smart contract creators using Cardano would have access to a Chainlink Oracle to create their Defi smart contracts.
According to an IOHK blog post, one goal of the collaboration is to assist developers in seamlessly integrating real-world data, such as stock and cryptocurrency market price feeds, into Cardano (ADA) apps.
“Access to real-world databases will be supplied through Chainlink’s decentralized ‘oracle’ networks… Enabling ‘smart contracts’ to execute around datasets such as election results, sports stats, and cryptocurrency rates
After-market price feeds, support for other Chainlink decentralized services will follow: sports data for prediction markets, weather data for parametric insurance products, and verifiable randomness for gaming and digital collectables such as non-fungible tokens (NFTs).”
The Chainlink-Cardano collaboration will allow Cardano to use Chainlink to move tamper-proof data from off-chain sources to on-chain smart contracts, according to Niki Ariyasinghe, the head of blockchain partnerships at Chainlink Labs.
Ariyasinghe added that the tie-up was also timely, given that Cardano’s native digital asset just gained smart contract capabilities. He thinks this will allow initiatives worth hundreds of billions of dollars to be secured on the Cardano protocol.
Cardano just completed its most recent upgrade, Alonzo, which allowed smart contract creation on the Cardano network.
Cardano Stablecoin announcement
Stablecoins are a new and emerging class of cryptocurrencies that promise to maintain their value over time. They’re an alternative to digital currencies like Bitcoin, which have been known to plummet in value over time. The Cardano team announced that it would be launching its own Stablecoin at the 2-day event.
To allow for decentralized finance (DeFi) operations and avoid transaction fees, a new stablecoin is being introduced to the Cardano blockchain.
Coti, the payment gateway provider for Cardano, will be the official issuer of a new DeFi-focused stablecoin called Djed, according to Charles Hoskinson and Coti CEO Shahaf Bar-Geffen.
The new stablecoin will be built around an algorithmic architecture with smart contracts to guarantee price stability and provide a means for DeFi transactions. The aim of the stablecoin is to “reduce volatile and exorbitant gas costs” by allowing users to “pay transaction fees on the Cardano network instead of relying on unpredictable and expensive gas prices.”
COTI, a software development firm, has revealed that it will release the Djed Stablecoin as soon as possible.
It was also stated that the digital asset will keep a reserve of base coins, especially when new assets are produced or destroyed. As a result, it will be able to counteract any fluctuations that may occur.
The CEO of the COTI Group, Shahaf Bar-Geffen, added “Blockchain participants are using stablecoins to engage in everyday transactions because they allow monetary value to be exchanged in a seamless manner, regardless of the sender and recipient’s location.”
“I believe that we’ll be able to significantly improve how transactions are settled on the platform by releasing a Stablecoin,” he explained.
According to CoinGecko, ADA is currently selling for $2.20, whereas Chainlink is valued at $24.01.