Cardano creator Charles Hoskinson says that his development company Input Output Global (IOG) has created its own stablecoin crypto.
IOG describes the new coin, called Djed, as a “crypto-backed pegged algorithmic stablecoin.”
“Djed [is] an algorithmic stablecoin protocol that behaves like an autonomous bank that buys and sells stablecoins for a price in a range that is pegged to a target price. It is crypto-backed in a sense that the bank keeps a volatile cryptocurrency in its reserve.”
Hoskinson tells his 547,000 Twitter followers that he had “been busy” and also reveals details on Djed in a live AMA (ask me anything) video.
Although the full whitepaper has not been released, Hoskinson says the researchers have spent significant time verifying the new project using Isabelle code, a tool that computer scientists use to prove theorems and make them easily convertible into code.
“What makes this paper very unique is the Isabelle code associated with paper. So the Isabelle higher-order logical formalization, there’s actual prose here. You can see all the Isabelle code, pages and pages and pages and pages of it. So a lot verification was done here, and that is just a truly remarkable thing, and it’s very unique for papers of this nature.”
Hoskinson says the new stablecoin will eventually be implemented into Plutus, Cardano’s smart contract platform.
“One of the things we’re doing with this stablecoin paper – after we clean it up a little bit more, because it’s so involved and there are so many moving pieces to it that have to be carefully thought about – is actually implementing it into Plutus as a Plutus native application. So we have a vendor in mind that we think would be perfect for this work, and we’re going to work closely with them.”