Review on Neutrino Dollar by Pedro O. Alvino M.
Stablecoin backed by an algorithmic approach
A stablecoin that unlike other stablecoin projects, this one uses a more decentralized mechanism in terms of currency support, given many stablecoins use fiat reserves to support said currency, however Neutrino USD seeks a more decentralized approach and this uses algorithmic cryptocurrency system to support the volatility of USDN, which in this case Waves is used as a means to support USDN through a smart contract.
The system that contains USDN to reduce the volatility of their currency is beneficial for users who wish to participate in said that a rise in the Waves price, a reserve is used to protect the USDN price, but when this reserve is very low, NSBT is used To recapitalize the USDN market by offering the token is price decreased, thus exchange it for USDN to obtain short-term profits.
The currency already integrated in several blockchain networks, as well as in the Ethereum network such as Binance Smart Chain, has very few holders in these two networks, since most of the holders seek greater performance in more popular stablecoins as is the case. of Curve's automated stablecoin market, which has not yet been integrated, however the coin has a blocking service with an annual yield of 15%, making it profitable for holders with large protected capital.
Pros
- It is one of the few stablecoins designed for the DeFi ecosystem backed by an Algorithmic system.
- It has a staking in USDN with more than a 10% annual return.
- The USDN currency is available on various blockchain networks.
- Offers a decentralized Forex designed with the Neutrino protocol.
- It has a governance and recapitalization tokens on USDN.
Cons
- The cases of use of USDN as a means of payment are scarce.
- Very few USDN holders in the different integrated blockchain networks.
- It has a large number of competitors in the market.
