Empty Set Dollar
What is Empty Set Dollar?
Empty Set Dollar (ESD) is a stablecoin owned by the community and acts as the reserve cryptocurrency of decentralized finance (DeFi). It aims to function as a non-centralized bank issuing a decentralized and reliable stablecoin. The primary stablecoin of the protocol is the Digital Standard Unit (DSU), which acts as collateral supporting blockchain-based internet applications or web3. The stability of the cryptocurrency is ensured by a reserve of low-risk assets.
The protocol encourages users to mint new stablecoin by providing collateral. Currently, Empty Set accepts USDC as pledged assets to mint DSU. The protocol allows users to attract less gas price or charge to conduct and validate transactions on the blockchain when minting DSU tokens. Users can also redeem the collateral-backed cryptocurrency efficiently.
Empty Set intends to act as a wrapper for stablecoins, securing the value of a specific cryptocurrency while allowing the stablecoins to run on any blockchain network. The protocol reserves specific collateral and launches DSU against the guaranteed asset, lowering the risks of upstream protocols. DSU can be swiftly migrated into new collateral if a stablecoin ceases to function or issues related to collateral-backing crop up, fueling the protocol. The protocol issues stablecoin by pledging collaterals with multiple trust guarantees, favoring trust-minimization.
The governance token of the protocol is Empty Set Share (ESS), allowing users to vote and propose improved governance plans within the protocol. Both DSU and ESS operate as ERC-20 tokens on the Ethereum blockchain. The protocol enables users to stake the tokens and earn more cryptocurrency. Users can also deposit the tokens in liquidity pools to make more revenues and earn ESS tokens as rewards. Although a governance token, ESS can backstop the reserve or add a secondary source of funds to support the protocol. The protocol enables additional minting and trading of ESS to increase the reserve ratio only if the community votes for it. Users with ESD can migrate the crypto-tokens to ESS using a wallet like Metamask or WalletConnect.
In summary, Empty Set Dollar (ESD) is a stablecoin owned by the community and acts as the reserve cryptocurrency of decentralized finance (DeFi). Its primary stablecoin is the Digital Standard Unit (DSU), which is entirely backed by a reserve of low-risk assets. The protocol encourages users to mint new stablecoin by providing collateral, and ESS is the governance token of the protocol, allowing users to vote and propose improved governance plans. Both DSU and ESS operate as ERC-20 tokens on the Ethereum blockchain, and users can stake the tokens and earn more cryptocurrency.
The investment information, comments, and recommendations provided here do not fall under the scope of investment consulting. Therefore, making an investment decision based solely on the information and comments provided here may not yield results that meet your expectations.
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