Ardana is a new on-chain stablecoin protocol. It aims to revolutionize Cardano – the third generation public blockchain platform. Ardana users will be able to mint, spend, send, and receive cryptocurrencies, as well as hold them in a compatible wallet or vault. The platform will also feature Danaswap/ The latter is a decentralized exchange for stablecoin and stable asset liquidity pools on Cardano.
Ardana’s token has a high rank, and it will become available on October 28, 2021. The price during the initial coin offering will be 0.60 USD per DANA. The company aims to raise 1,666,666, and it will accept ETH, USDT, and USDC in exchange.
What are Ardana’s key features?
Ardana’s protocol offers Cardano native asset stablecoin loans. Typically, the stablecoin is soft pegged to the value of the USD. Users mint them after establishing a loan via a smart contract. However, the user must provide collateral in the form of an approved Cardano native asset like ADA and lock it in a private Ardana vault to qualify for a dUSD loan. The collateral must also exceed the loan amount by a factor approved by the authorities. Thanks to it being over-collateralized, token holders will have confidence in the value of dUSD even during market fluctuations. The platform will release the collateral after the borrower repays the stablecoin loan.
As a result, users won’t need to liquidate ADA to purchase other Cardano assets. They can deposit ADA (and other approved assets) into the Ardana vault and receive a proportion in return as a minted dUSD loan.
Furthermore, the platform offers the advantages of using smart contracts. The latter are programs stored on a blockchain, and they run only when predetermined conditions are met. Investors and traders primarily use smart contracts to automate the execution of agreements on blockchain platforms. They save time, avoid conflict and provide security during the transaction. Besides, smart contracts reduce surplus transaction costs and offer a faster and more secure payment method than other traditional payment systems.
What is Danaswap, and how does it work?
Ardana ecosystem offers an exciting feature called Danaswap. This decentralized exchange uses an automated market maker (AMM) for stable asset pools and stablecoin. Liquidity pools have already proven to be game-changers. Nowadays, they are a vital component of decentralized finance and act as the foundation for AMMs.
Moreover, liquidity pools allow for trading on DEX while simultaneously providing liquidity through various funds locked in a smart contract. According to the Ardana team, Danaswap’s algorithm considerably reduces slippage even with six-figure trades. Danaswap allows token holders to earn passive income through liquidity trades, as well.
On DanaSwap, a stable pool holds the same underlying asset’s different token representations, all of them trading at approximately the same price. Users can make swaps and liquidity arrangements with these various assets. They can also switch between any of the assets in the stable pool at any time. Token holders can swap multiple types of tokens in a single transaction. However, this rule only applies to stable pools that support more than two tokens.
Why should investors store assets in a vault?
Vaults hold digital currencies, just like wallets. The difference between these two is that vaults stop cryptocurrency from being immediately withdrawn. They also offer higher security when it comes to storing crypto assets. Ardana uses the vaults to secure loan collateral. Users can leverage assets that are approved to be lodged in the vault and later mint Ardana stablecoins via smart contracts. The platform has no limits in place about the number of vaults that a user may open for various Cardano native tokens.
Ardana also has Rewards Enhancement Model (AREM for short). It works to distribute a percentage of the Danaswap platform fees and Ardana stablecoin vaults to DANA token owners. Customers can claim rewards in various ways. They can try staking DANA tokens to earn exDANA, provide liquidity, or deposit dUSD in the Ardana Savings Module.
ExDANA is the product of locking a DANA token into the AREM. The longer exDANA remains locked into the AREM, the bigger the rewards. The platform offers an AREM calculator, so users can determine the amount of exDANA required to claim the best awards in the system.
Another exciting feature is Ardana’s ability to pay out profits in ADA. The team noted that the DANA token could effectively become a yield-bearing asset for its holders.
Ardana plans to support a wide range of currencies, including USD, GBP, and EUR. The platform enables users to reshape each of these currencies as stablecoins. Thus far, the U.S. dollar is the most minted currency. That means most non-American users are minting a foreign currency. However, there are other currencies besides the greenback that users can mint. These are not decentralized, though, and this platform wants to remedy this by allowing customers to mint stablecoins in different currencies and swap them on Danaswap.
What about the DANA Token and its governance?
Ardana offers lots of interesting features. ADA holders will be able to use the platform for all kinds of projects. Furthermore, users govern the system through DANA tokens. The token holders have voting rights, as well as the power to influence the direction and development of the platform. Besides, stakers can also claim ADA tokens by simply engaging in different yield generating activities on the platform. They will have opportunities to generate passive income interest payments and more.
Despite all these advantages, Ardana partially depends on outside actors who work to maintain the operation of the protocol. The team calls them Oracles, Keepers, Emergency Oracles, and DAO Teams. Each of them plays a different role in ensuring the platform’s success. For instance, Keepers are self-interested individuals who seek out arbitrary opportunities. In the process, they help to maintain stability.
What about the WonderHero’s ICO?
WonderHero is a relatively new Play to Earn mobile RPG game. Its players can earn rare NFTs (non-fungible tokens), as well as sell them on a peer-to-peer marketplace. The WonderHero team aims to form a balanced universe where gamers of different levels will be able to offer each other income opportunities and have fun at the same time.
WonderHero’s founder team has a broad leadership experience both in Defi and gaming. The company plans to launch its native utility token WND on October 21, 2021. On the ICO listing platforms, this token receives praise.
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