🪙The CAI Stablecoin

Cryptocurrency-backed stablecoins are issued with cryptocurrencies as collateral, which is conceptually similar to fiat-backed stablecoins. However, the significant difference between the two designs is that while fiat collateralization typically happens off the blockchain, the cryptocurrency or crypto asset used to back this type of stablecoin is done on the blockchain, using smart contracts in a more decentralized fashion.

CAI is inspired by Terra (UST). In our view the only successful and pure algorithmic stablecoin in the space. We will introduce the second one, which aims to make $CADT more deflationary, while providing the amazing Binance chain with its own algorithmic stablecoin. In addition to the mechanism that backs UST, as a rebase project in core, we are able to add additional layers of defense to remain pegged to $1.