The Weiss rating agency, renowned for analyzing global financial markets,(crypto included) has published a tweet that Charles Hoskinson, founder of Cardano, with Ada as its basis, is eyeing to launch a stablecoin on Cardano with mechanical similarities with DAI.
Weiss Ratings also added that the odds that favour the DAI pattern is the fact that it lacks a central point of failure, unlike its counterparts USDT or USDC. In a tweet published by the agency, it reports that Charles Hoskinson is planning to launch a stablecoin, and so far DAI is the only stablecoin, and there should be more.
Charles Hoskinson responded by saying that he has been pondering over it for the last 7 seven years, and in case Cardano pulls it off, it would blow everyone out of the park.
If we do this, then it will blow everyone out of the water. I started in this space with stablecoins and we’ve been thinking about them for seven years https://t.co/t4FGxW7cLk
— Charles Hoskinson (@IOHK_Charles) February 11, 2020
When the Cardano reports tweeted Charles Hoskinson about how will the stablecoin benefit ADA users, or if the program would be separate from Cardano, and how will they target the broader market, the founder of Cardano responded by saying that as it will get integrated into a central system, the demand for the asset would boost significantly.
Stablecoin a Possibility But Still a Distant Dream For Cardano
However, it is essential to keep in mind that even if a Cardano variant of DAI is launched, it will take a fair amount of time for it to come to fruition. Cardano is incomplete right now as it has three more phases– Goguen, Basho and Voltaire, completion of which would lead to smart contracts, scaling and governance solutions.
Bearing in mind that Cardano is no small name in the market, it would be daft to rule out the possibility of it entering the stablecoin market. The launch of a stablecoin would undoubtedly attract the masses and lead to more growth.