The burgeoning on-chain economy of the Bitcoin blockchain is getting its own dollar-backed stablecoin.
According to publisher Stably, the new stablecoin Stably USD aims to be the go-to currency for traders trading new assets built on the Bitcoin blockchain. According to the company, Stably USD will enable transactions such as Bitcoin NFTs that are cheaper and more efficient than Bitcoin (BTC) and fiat currencies.
The Ordinals protocol, which emerged as a method of recording NFTs in Satoshi, the smallest unit of Bitcoin, has rapidly evolved and matured to become a method for creating all kinds of tokens, including the Stably USD. .
All Ordinals-based trading could become easier once this latest so-called ‘BRC-20’ token becomes widespread. Currently, there are only two options: fiat currency, which is stable but cumbersome to handle on-chain, or bitcoin, which is easy to use but unstable. Stably says it solves these problems by maintaining a stable value and providing an on-chain, easy-to-use method.
According to Stably documents, Stably USD is backed by Prime Trust, a crypto-focused fintech company. Users will go through Know Your Customer (KYC) and Anti-Money Laundering (AML) processes to exchange dollars for stablecoins.
For Stably USD to be successful in the long term, it must outperform its other stablecoins. Its stablecoin on the Ethereum blockchain, StableUSD (USDS), has just over 750 holders and a market cap of just $264,000, according to Etherscan. It does not even compare to Tether (USDT) and USD Coin (USDC), which lead the stablecoin market.
But Stably believes it can capture the market with Stably USD. When the token issuance began on May 22, the maximum supply was set at 69.42 trillion.
｜Translation: coindesk JAPAN
｜Editing: Takayuki Masuda
| Original: Bitcoin’s Hot Ordinals Economy is Getting a Dollar-Backed Stablecoin