Stablecoins

Blockchain assets can be extremely volatile. That’s why investors often seek digital assets which are pegged to national currencies. A Stablecoin is the most primitive integration of cryptocurrencies with the off-chain world. Until DAI, fiat custody services were provided by centralized services. The first example of a stable coin, USDT, is backed by actual dollars held in banks. However, for a decentralized financial system, we need other means of fiat-pegged currencies.

SigmaUSD

sigmausd.io, The worlds first UTxO-based stable coin - an instantiation of the AgeUSD protocol. Its economic model designed in partnership between IOHK, Ergo, and Emurgo maintains the conservative settings for collateral reserves and avoids the need for liquidations. Along with that, it supports a fully decentralised stablecoin emission setup.

The UI for the front-end is available at anon-real/sigma-usd. For more information and a more general overview please see ergonaut.space

• Ergo Summit 2021 - The IOHK Perspective - Designing the AgeUSD StableCoin
• Overview Video (with diagrams)
• Building Ergo: How the AgeUSD stablecoin works
• Lessons for sigmausd from the DJED paper

Dexy

Dexy uses seigniorage

• Dexy overview
• USE stablecoin
• DexySpec
• Dexy Stablecoin Design
• Dexy: USD Simplest Stablecoin
• Dexy enhancements to counter various attacks in vanilla proposal
• Citadel v0.2.4-alpha added SigUSD routing, token-to-token swaps, LP deposit/redeem support, and Dexy LP display fixes.
• USE pegged asset on DefiLlama tracks the USE stablecoin alongside its public protocol information.

Gluon

Gluon is a stablecoin protocol on Ergo using fission, fusion, and beta-decay operations. Its current Ergo UI is tracked separately from SigmaUSD and Dexy.