USDN comprehensively promotes the development of NGK public chain ecological scenarios
In the blockchain field, market leader USDT is standing firmly in the market, as well as various stable coins launched by major exchanges, and Libra is in its strengthened position. They are many choices and competition running intensively, whereby stable coins stand in a crowded track, the exertion of effect is also in limitation.
At present, the stable coins that have been issued are roughly divided into two categories. One is the mortgage stable currency represented by USDT, and the other is the algorithmic stable currency represented by Basis and Carbon, which is stimulated by smart contracts. The central bank has increased or tightened the money supply to keep the currency price relatively stable.
There are many types of mortgage stable coins launched on the market, but users are dissatisfied with it. For example, USDN claims to be a 1:1 mortgage of US dollars. However, because of these mortgages unable to be reflected on the chain, it is often been criticized for not being transparent enough. In addition, part of mortgage deposits used in banks has been doubted also.
In contrast, the transparency of the algorithmic stable coin is much greater than that mortgage-type of stable coin.
USDN is an algorithmic stable currency, which is mainly used to adjust prices through algorithms. It is different from mortgage-type stable coins such as DAI, DAI is issued on a chain based on the PoW consensus mechanism and is not suitable for high-frequency trading, and the application scenarios are therefore had been restricted.
USDN is a stable currency issued based on the NGK public chain. The NGK public chain uses the DPOSS consensus mechanism with higher TPS scalability. Its unique consensus mechanism can effectively support USDN’s high-frequency trading scenarios. It is reported that the current transaction speed of the NGK chain has stabilized at 5000+ per second.
The launch of USDN will fully focus and promote the overall development of the NGK public chain ecological scenes, including decentralized exchanges, legal currency entry, traditional finance, DAPP development, and many other relevant aspects.
USDN will become a new force for NGK public chains to explore in the field of decentralized finance. USDN stable currency can also provide basic pricing units for asset release financing and decentralized exchanges. In addition, USDN will assist with NGK public chain to exert its important role in the channel of legal currency deposits.
USDN is also conducive to the development of the DAPP ecosystem on the NGK public chain. For NGK developers who develop DAPPs, this underlying public chain can provide an excellent transaction payment experience, which will attract and retain more users.
The current competition in the public chain field is going vigorously, and everyone is taking this opportunity to get ahead in this competition. Regardless of the competition on the stable currency track, NGK public chain chose USDN as a breakthrough point to fully explore its applications in various fields, showing its determination and confidence.
Although it is impossible to predict accurately whether 2020 will really develop into a year of infrastructure surrounded by stable coins, the market will reveal the breakthrough result or NGK’s performance sooner or later.