According to Coingecko data, Cardano, a public blockchain platform, introduced USDM, the first stablecoin wholly backed by money, while Tether USDT and Circle USDC dominated the $134 billion stablecoin market.
Mehen Finance launched USDM on March 17. Unlike Cardano’s algorithmic and synthetic stablecoins, such as DJED and iUSD, USDM allows users to create and redeem it with US dollars.
Mehen encountered challenges in 2023, including delays because by complications with US banks. However, after cooperating with the fintech startup Plaid, they overcame problems and are now ready to help with the minting and burning of USDM.
Mehen is looking for licenses to expand its services in anticipation for its anticipated growth into the UK and Europe. Over 2,000 partners are expected to join USDM, ranging from lending protocols to decentralized exchanges, with onboarding set for the week of the 18th.
The Cardano community has embraced USDM’s debut, which represents a significant step forward for the network’s decentralized finance. Despite competition from market leaders in stablecoins such as USDT and USDC, USDM stands out due to its Cardano uniqueness.
The issuance and management of USDM ensures transparency and security by utilizing smart contracts and decentralized oracles. This move shows that Cardano will continue to expand within the cryptocurrencycurrency market.
