As you can now see DJED is now live on the Cardano eco system which means they have enough SHEN to get minting. The stable coin DJED requires 4 x the value as collateral before DJED can mint 1 coin and now they have enough to get going sitting at 6 x collateral.
The COTI team promised that the launch would happen in January and they made it just in time. The last hold up was the chain-index sync which takes 14 days to complete. We knew they were on track as 7 days ago they said this was already halfway.
This DJED Stable coin has been along time in the pipeline and for those that have been investing in Cardano (ADA) and COTI this should be the time all that effort pays off. I don't expect to see COTI shooting off into the stars just yet as this will still take some time for the real value to come through.
The first buy in will be telling when the fees collected in Cardano are sold and replaced with COTI as those numbers are expected to be rather large. Only a 0.5% servie fee for minting and burning is being charged but then again it is over 2 coins as SHEN the reserve token is part of the eco system.
People forget as they just see DJED so if $25 million DJED are created which is $25 million then $100 million of Shen is required. I expect many 100's of millions of DJED will be created over a very short period of time which is going to make staking COTI rather lucrative as the APR should start to rise along with the price as the buy ins will take liquid off the exchanges.
There has been not much more I could do to prepare for this launch as I have been busy accumulating COTI and staking in the Treasury. The thought is you have to give yourself the best chance of succeeding when something is this new and this big so the hope is all the hard work over the last 18 months pays off.
I have risen with the price of COTI up to 66c and now down to 5 c doing dollar cost averaging every step of the way and now we are back at 10c today. By the end of February I do expect to see COTI over 20c as that is when the first buy in should be taking place with the service fees collected for minting and burning DJED along with SHEN. How much no one knows as it all depends on how successful the launch will be. From my understanding they have already been promised liquid from certain ADA whales and this will be in the millions.
I expect Cardano to do very well over the coming months as there could also be a liquidity issue as this stable coin is taking 5 x the normal amount of ADA to create. ADA at 40c would require 2.5 ADA per DJED and another 10 ADA for 1 SHEN so 1 DJED would suck up 12.5 ADA. 100 million DJED would be 1.25 Billion ADA tied up so you can see where this is heading.
Possibly I should have bought ADA as well, but when you are under pressure to get as much as possible you cannot have it all and I chose COTI due to being involved in the Treasury and for what they have planned long term.
