Game Changer?

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Personally I can only see Cardano getting even bigger once everything starts going live.

I was watching an interview today with Shahaf Bar-Geffen the CEO of Coti and how the announcement last night has elevated Coti to the next level. It is quite interesting to understand how they actually fit in and what it means for the coin.

Firstly Coti has a strong relationship with Cardano as they have been working together for years. Coti is the coin or project behind ADAPAY which is the payment system for the Cardano Blockchain. That is important as it tells you how they fit in to the entire scheme.

last night Cardano announced that Coti is responsible for minting their stable coin DJED. This is an algorithmic backed stable coin which will be pegged to the USD but more importantly not backed by the USD but Cardano itself. the price will be kept constant with no fluctuations.

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You are now wondering where the benefit is for Coti now and I will try and explain as I am no technological wizard and this is layman's terms. Coti is in charge of the stable coins so they will be the negotiators for any projects or exchanges wanting to do business within the Cardano eco system. They will be the ones negotiating the smart contracts on behalf of Cardano.

Every transaction has a cost attached to it so every transaction that involved minting, burning swapping gets paid in DJED, converted into ADA then bridged to Coti which arrives in it's treasury. The benefactors are the investors who are holding or staking Coti in the treasury pools as those pools continue to grow as the fees are collected.

The Cardano eco system should be huge as it rolls out it's smart contracts as the gas fees are going to be minimal and controlled by DJED. This should elevate COTI to another level and why I can't get enough of them right now. I am not looking at the price as the project is that good.

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Shahaf Bar-Geffen did mention there are a number of new merchants joining ADAPAY which is currently turning over $30 million per month. Who they are he cannot say as that is for Cardano to announce and is not his role. His role is defined by running the smart contracts and stable coins required.

Cardano we all know is the third largest crypto by market cap and most likely it should grow even more as the smart contracts went live only a few weeks ago. Many or nearly all of them are still not live yet and will be up and running very shortly. Obviously now we know DJED is the stable coin of choice then things should start speeding up from here on in. I hope I explained the basics properly so that everyone can understand how big this could actually be. I have no idea what big is but from all accounts this is a game changer for Coti as a crypto coin.

As always do your own research as this is not financial advice and more of a simple explanation of what took place at the Cardano summit as this was the key point to take away.

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