Introducing ADADAO — World’s First interest-free stablecoin protocol
This is the first medium article where we will briefly put forward our purpose
ADADAO is a DeFi protocol on Cardano blockchain which facilitates creation of fully collateralized stable coins leveraging Native Cardano Assets. We are starting with ADA tokens only but the governance can decide on addition of more assets as and when required. ADADAO functions as a DAO (Decentralized Autonomous Organization). AUSD is the stablecoin generated using this protocol. ADAO is the utility and governance token which allows users to decide how the protocol functions and also gives them a share of the fees raised through the protocol.
The ADADAO foundation is taking care of the initial development of the project and plan to gradually offload its duties to the governance.
ADAO and AUSD are Cardano Native Tokens and users need to have a supported Cardano wallet to be able to receive it. They will also be able to trade the token in various exchanges.
The AUSD stable coin is a soft-pegged cryptocurrency, decentralized, unbiased, collateral-backed, which can be stored in wallets or used on platforms. ADADAO Vaults are non-custodial & permissionless protocol and all generated stablecoins are backed on-chain by an excess collateral.
Users interact directly with Vaults and the ADADAO Protocol, and each user has total and independent control over their placed collateral as long as the value of the collateral does not fall below the required minimum level (the Liquidation Ratio).
Key External Actors
The ADADAO Protocol, in addition to its smart contract infrastructure, relies on a number of external actors to keep things running. These external factors includes
· Oracles, and
· Global Settlers (Emergency Oracles), as well as ADADAO community members.
Individuals and service providers who are contracted by ADADAO Governance to deliver specialized services to ADADAO make up DAO teams.
Governance of the ADADAO Protocol
The ADAO token, which serves as the ADADAO Protocol’s governance token, allows holders to vote on changes to the protocol. It should be noted that anybody can submit suggestions for an ADAO vote, not just ADAO holders.