Introducing CARDAO, the decentralized reserve currency of Cardano

3 min readJan 1, 2022

Dear Cardears

Welcome to CARDAO’s first post. We are very excited to introduce CARDAO with the start of 2022. We hope that you can understand and empathize with CARDAO’s vision through this post.

What’s the problem?

We found that no currency has an independent value. The dollar is the most used currency, but its value is losing its value as the supply skyrocketed. Also, Crypto like Bitcoin has value only as an asset, not as a currency. In particular, the Federal Reserve Board (FED) printed a lot of dollars after the 2020 pandemic. Because the dollar system has been controlled by the FED, it quickly depreciated in response to the actions of certain entities. Also, bitcoin is not a money but an asset. Humans haven’t found a currency that has consistent purchasing power for a long time. That’s why we are designing the CADA token.

The vision of CARDAO.

We want to design and spread a currency with consistent purchasing power. If this goal is achieved, people will no longer have to move assets for fear of depreciation. Olympus DAO, which was designed on the Ethereum chain, showed us the possibility for building this kind of currency.

We observed that OlympusDAO builds a powerful algorithmic monetary system through various experimental processes. We were so inspired that we decided to build the new type of DeFi on the Cardano ecosystem.

Our goal is more than just a fork of olympus. There are a lot of DeFi projects being ready to start on Cardano. We believe that CARDAO could make an efficient system that is complementary to them and enrich the Cardano ecosystem.

Why Cardano?

Since DeFi deals with financial assets, ensuring safety is of the utmost importance. Cardano is the only public blockchain with a “scientific philosophy and research-driven approach.” In practical terms, this means that its open-source blockchain undergoes a rigorous peer-review process by scientists and programmers in academia.

Also, while observing the activation of Dapps on Ethereum, we discovered that the network fee required to use the services was excessive. This is a problem directly related to the scalability of the network.

Cardano aims to maintain the scalability and speed of the network while supporting the creation of fungible tokens, non-fungible tokens (NFTs), semi-fungible tokens and decentralized applications.

That’s why we believe we can realize our grand vision on Cardano.

CARDAO’s mechanism

The CADA token is the reserve currency which is backed upon $1, which is realized by the protocol-owned treasury. If the CADA token is traded below the $1, the protocol will buy the CADA tokens and burn them.

Users can make a long-term profit by staking the CADA token. Also, they can make a short-term profit by buying the bonds which CARDAO protocol provides. Even if the supply of tokens increases due to staking, the treasury of the protocol supports the price of the tokens.

With a well-designed economic system including staking, bonding, and treasury, both users and protocol can win while participating in CARDAO’s ecosystem. The economic system encourages users to stake tokens and expand the community. It is not a zero-sum game, but a new added value to the Cardano ecosystem.

Closing the post

The article may be ambiguous a little for reading because there is no detailed data or number related to the CARDAO system.

Please calm down and wait. Coreteam is working on designing a more sophisticated economical system. It would take a little time. Whenever there is an issue to inform, we will notify you immediately.

We assure you that CADA will be the most successful “currency” in the Cardano ecosystem. We will try to make CADA integrated into other DeFi projects in the Cardano ecosystem. In a few months, you will recognize that staking CADA is more profitable than holding stablecoins. We will do the best to realize our vision and make a safe economic system.

Thank you for reading our “first” post. We are very excited to think about what we would realize on Cardano!

Until then,

(🚗, 🚗)

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