Ready for the next evolution? DJED stablecoin goes open source, introducing the world’s first multi-chain private option! #DJED #Stablecoin #Blockchain
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DJED Becomes Open Source, Paving The Way For The World’s First Multi-Chain Private Stablecoin
John: Hey everyone, I’m John, your go-to tech blogger for all things Web3, metaverse, and blockchain on this site. Today, we’re diving into the recent updates on DJED, Cardano’s stablecoin that’s now going open source and expanding to multiple chains with a big focus on privacy.
Lila: That sounds exciting, John! Readers are buzzing about stablecoins and privacy in crypto these days. Can you start by explaining what DJED is and why this update matters?
What is DJED?
John: Absolutely, Lila. DJED is an algorithmic stablecoin originally built on the Cardano blockchain. It was launched in 2023 by COTI and Input Output Global (IOG), designed to maintain a stable value pegged to the US dollar through overcollateralization with assets like ADA.
Lila: Overcollateralization? What’s that mean in simple terms?
John: Good question—it’s when you back the stablecoin with more value in reserves than the coins issued, like putting in $150 worth of assets to issue $100 in stablecoins, which helps keep it stable during market ups and downs. In the past, DJED focused on Cardano, but currently, it’s evolving to address privacy and cross-chain needs.
Background and History
Lila: Okay, got it. So, how did DJED get started, and what has it achieved so far?
John: In the past, back on 2021-09-27, COTI announced DJED as a tool for DeFi on Cardano to handle transactions with low fees. It officially launched in 2023 and has been used for things like lending and payments within the Cardano ecosystem. Currently, it’s proven reliable as an overcollateralized stablecoin, with no major depegging events reported in trusted sources.
Lila: Impressive! Has it always been tied just to Cardano?
John: Yes, initially. But on 2025-08-08, at the Rare Evo event, COTI announced big changes, making it open source and multi-chain, which we’ll get into next.
What’s New: Open Source and Multi-Chain Expansion
Lila: Alright, let’s talk about this open-source move. What exactly happened on 2025-08-08?
John: On that date, COTI made DJED’s core components open source, meaning developers can now inspect, modify, and build on the code freely. This paves the way for Private DJED, described as the world’s first multi-chain private stablecoin, integrating with chains like Solana, XRP, Avalanche, Ethereum, and BNB Chain, alongside Cardano.
Lila: Multi-chain—what does that involve?
John: It means DJED can operate across different blockchains seamlessly, using cross-chain tech for transfers. Currently, this expansion is powered by COTI V2 and Midnight Network for privacy, as per official announcements from COTI.
Lila: Sounds technical. Any tips for beginners on why open source matters?
John: Sure, here’s a quick list of benefits:
- Open source allows community contributions, improving security through more eyes on the code.
- It fosters innovation, like adding new features without waiting for one company.
- Transparency builds trust, as anyone can verify how it works.
- Don’t assume it’s risk-free—always review code changes before using in real projects.
Privacy Features and Benefits
Lila: Privacy is a hot topic. How does Private DJED handle that?
John: Private DJED introduces native privacy features, making transactions shielded from public view while keeping them verifiable. It’s built with zero-knowledge proofs (a way to prove something is true without revealing details) via Midnight Network, ensuring compliance and security across chains.
Lila: Who benefits from this?
John: Developers, enterprises, and DeFi users looking for secure, private transactions. For example, businesses can use it for confidential payments without exposing financial data. Remember, regulatory compliance varies by jurisdiction; always check official docs and local laws before implementing.
Potential Use Cases and Looking Ahead
Lila: What are some real-world uses, and what’s next?
John: Currently, it’s aimed at DeFi for private lending or trading. Looking ahead, it could expand to enterprise finance, like secure cross-border payments. Posts on X from verified accounts like COTI Foundation highlight its role in Web3 privacy, but we’ll watch for official updates on adoption.
Lila: Any risks to keep in mind?
John: Yes, like any stablecoin, there’s smart contract risk—audits are key. In the past, other projects faced issues, so DJED’s open-source status helps with community audits. No financial advice here, folks; do your own research.
John: Wrapping up, this update to DJED is a solid step toward more private, flexible stablecoins in Web3. It’s exciting to see Cardano’s tech branching out, and I’m looking forward to how developers run with it. Stay tuned for more updates, and remember to engage with trusted sources.
Lila: Thanks, John—that clears up a lot! The key takeaway is that DJED’s open-source shift opens doors for privacy-focused innovation across chains, making crypto more accessible and secure for everyone.
This article was created based on publicly available, verified sources. References:
- Original Source
- DJED stablecoin goes open source, targets multi-chain future with privacy-first design – CoinCheckup
- DJED Goes Open Source, Unlocking the Path to the World’s First Multi-Chain Private Stablecoin | by COTI | Aug, 2025 | Medium
- Cardano Stablecoin DJED Goes Private and Open-Source
- DJED Becomes Open Source As COTI Launches Privacy-First, Cross-Chain Version