In an energy to “rescue” the USDN stablecoin, Waves (WAVES) made a decision to convert the stablecoin into the WIXT ecosystem index token. According to the task, WIXT will be a new stage that will carry a lot of added benefits to USDN holders.
Like it Coinlive reported on December twenty, 2022, Waves needs to make a new stablecoin to correct the USDN depeg problem. Because earlier this month, Waves was warned by a cryptocurrency exchange syndicate due to considerations above the two-month depeg of the USDN stablecoin.
The exchanges, led by Upbit, had been concerned that the failure of USDN to return to the $one threshold could set off a “second LUNA-UST incident”, so they made a decision to spot WAVES beneath distinctive monitoring and did not rule out the likelihood of delisting.
At that time, task founder Sasha Ivanov exposed that he would release a new stablecoin and have a radical alternative to the recent USDN depeg problem.
– I will launch a new secure coin
– There will be a $USD No problem resolution system set in movement earlier.
— Sasha.waves (@sasha35625) December 20, 2022
That explained, just as the new yr started, Waves abruptly announced that it was converting the USDN stablecoin into an index token of the Waves ecosystem, identified as WIXT.
one/ 💰🤖 The Neutrino neighborhood accepted the USDN transition proposal from stablecoin to Waves Ecosystem Index Token! Here’s what transpires subsequent!
Introducing WIXT: The Waves Index Token
Read the total write-up: https://t.co/6ntQsAmEjr
— Neutrino Protocol (one ➝ two)🏄🏻♂️ (@neutrino_proto) January 6, 2023
What is WIXT?
Like it Notification From the task, WIXT will be collateralised with a basket of tokens belonging to the Waves ecosystem and will no longer be pegged to one USD. Instead, WIXT’s worth will fluctuate primarily based on marketplace provide and demand and a metric identified as the Backing Ratio (BR) or temporarily identified as the Reserve Index.
BR = Total Value of Collateral Tokens in Basket / Total Value of WIXT Outstanding
The task staff insists that they will reserve collateral corresponding to a hundred% BR. That is, a hundred% of the worth of WIXT tokens in circulation is assured. Therefore, whilst not right “pegging” USD one, WIXT can nonetheless sustain the USD one rate.
Waves also outlines the roadmap as follows:
– January 2023: Project improvement
– End of January: Release of Litepaper
– Mid-February: Name transform from USDN to WIXT finished
– February, March four: Use of 15 million USD tokens in the Waves ecosystem as collateral for WIXT.
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