Cap officially launched on the Ethereum Mainnet with two stablecoins, cUSD and stcUSD, enhancing profits for users through staking and yield farming mechanisms.
The Cap stablecoin protocol allows users to mint cUSD with USDC while participating in receiving Caps reward points. All idle USDC is transferred to Aave to generate profits. The stcUSD product has been launched on Pendle, providing cUSD prices via the Chainlink oracle with support from many large organizations.
MAIN CONTENT
Cap issues stablecoins cUSD and stcUSD on the Ethereum Mainnet.
Idle USDC is invested in Aave to generate basic profits.
stcUSD is listed on the Pendle exchange, with the price of cUSD validated through the Chainlink oracle.
What is Cap and why is it important in the cryptocurrency ecosystem?
Cap is a new stablecoin protocol introducing two products, cUSD and stcUSD, on the Ethereum Mainnet, aiming to provide dual benefits for users through minting stablecoins and earning from collateralized assets.
The highlight is the ability to mint cUSD from USDC and accumulate Caps reward points while taking advantage of yield farming opportunities through Aave. This protocol is designed in collaboration between operators and restaking parties, creating stability and sustainable growth for users' assets.
How does Cap work with stablecoins cUSD and stcUSD?
Users can mint cUSD by depositing USDC into the protocol while receiving 'Caps' points as internal rewards. Unused USDC will be transferred to the Aave platform for basic earnings.
stcUSD is a supplementary stablecoin, listed on the Pendle exchange – a platform that allows trading of derivative financial Tokens. The price of cUSD is secured by reputable oracle data from Chainlink, ensuring transparency and accuracy in stablecoin transactions.
The Cap protocol not only provides stability by using proven USDC but also creates additional value for users through reinvestment mechanisms and Caps reward points.
Cap developers, August 2024
Who are the main partners and investors supporting Cap?
Cap has attracted the attention of reputable financial organizations such as IMC Trading, Edge Capital, and Susquehanna Crypto from the early stages of development, enhancing the reliability and security of the protocol.
The participation of well-known names in the cryptocurrency field helps Cap strengthen its reputation while creating favorable conditions for scaling and recognition in the highly competitive stablecoin market.
How does the use of the Chainlink oracle affect Cap?
The Chainlink oracle provides accurate and transparent cUSD price data for the protocol, helping to eliminate information distortion risks and enhance reliability in maintaining a 1:1 exchange rate with USD.
The integration of this leading cross-chain oracle reflects deep expertise in technology and a commitment to ensuring transparency, instilling confidence in investors and users, enhancing Cap's competitive advantage in the stablecoin market.
What are the outstanding advantages of Cap's stablecoin compared to other options?
Cap's stablecoin not only preserves value in USDC but also generates passive income by depositing idle USDC into Aave. Users are rewarded with additional 'Caps' points, encouraging participation and loyalty.
Notably, stcUSD can be traded on the Pendle exchange, opening up yield farming opportunities and derivative financial products, diversifying investment solutions and reducing risks compared to traditional stablecoins.
Frequently Asked Questions
What types of stablecoins does Cap offer?
Cap issues two main stablecoins, cUSD and stcUSD, on the Ethereum Mainnet, supporting minting from USDC.
What are the benefits of holding USDC in the Cap protocol?
Idle USDC is sent to Aave to generate basic profits, and users also receive Caps reward points, increasing overall value.
How is the price of cUSD updated?
The Chainlink oracle provides accurate price data, ensuring transparency and stability for the price of cUSD.
Which organizations are involved in supporting Cap?
IMC Trading, Edge Capital, and Susquehanna Crypto are major investors supporting the protocol.
Where can stcUSD be traded?
stcUSD has been listed and traded on the Pendle exchange, a platform focused on DeFi.
Source: https://tintucbitcoin.com/stablecoin-cap-ra-mat-cusd-stcusd/
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