Ren Protocol to Launch Community-Governed Stablecoins
- The two will work together to create cross-chain stablecoins backed by Ren assets.
- ICHI will initially release 7 stablecoins—oneFIL, oneZEC, oneBTC, oneBCH oneDGB, oneDOGE, and oneLUNA.
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In a press release published on 10 August, Ren Protocol announced it has entered into a strategic partnership with ICHI. The two will work together to launch community-governed stablecoins for each asset supported by RenVM, the company said.
ICHI will enable any cryptocurrency project to create and control its own stablecoin — minting the stablecoin will require the protocol to provide backing part in USDC and part in a Ren asset. The assets will be held in a Decentralized Monetary Authority (DMA) which is governed by the stablecoin holders and ensures that the 1:1 peg to the U.S. dollar is maintained. Users holding the stablecoins will be able to earn yield by depositing assets or farming with their tokens.
There will be a total of seven ICHI stablecoins released for each Ren asset on Ethereum—oneFIL, oneZEC, oneBTC, oneBCH oneDGB, oneDOGE, and oneLUNA. As part of the partnership, ICHI and Ren will support the creation of a “native minting” feature for ICHI stablecoins using RenJS, and explore launching those stablecoins on networks outside of Ethereum. ICHI also plans on launching a stablecoin that will be collateralized with the REN token.
- Called the one1INCH token, the new stablecoin will be “minted with a blend” of the platform’s native 1INCHG token and Centre’s USD Coin.
- The 1 inch Foundation will be contributing $100,000 worth of 1INCH as collateral for the stablecoin, effectively increasing the demand for the token.
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- LINKSWAP’s bridge will enable users to mint and burn renDGB.
- renDGB can then be used to trade on DEXs, or provide liquidity to LINKSWAP’s renDGB/ETH pair./li>