The Cardano stablecoin proposal #卡尔达诺稳定币提案 was put forward by its founder Charles Hoskinson, aimed at enhancing the liquidity of stablecoins within the Cardano ecosystem and promoting the development of decentralized finance (DeFi). The main contents are as follows:

• Fund Conversion: It is proposed to convert $100 million worth of ADA (Cardano's native cryptocurrency) in the Cardano treasury into the Cardano-native supported stablecoin USDM. The Cardano treasury currently holds approximately 1.7 billion ADA.

• Partners: The proposal suggests collaborating with the major hedge fund Brevan Howard to enhance key activities within the ecosystem, such as increasing total value locked (TVL) and market-making.

• Revenue Model: This proposal includes a self-sustaining economic model that is expected to yield an annual return rate of 5%-10%. The earnings will be used to purchase ADA from the open market and return it to the treasury, expanding the treasury's size to provide ongoing support for the ecosystem.

• Attracting Investment: This liquidity strategy may attract large venture capital firms like a16z or Pantera Capital, with transaction sizes ranging from $25 million to $45 million, further enhancing the sustainability of the ecosystem.

Additionally, Hoskinson mentioned that Cardano plans to launch a privacy stablecoin to provide a cash-like anonymous payment experience, balancing privacy and compliance. It will adopt the Ouroboros consensus protocol, introduce zero-knowledge proof technology, utilize the privacy sidechain Midnight, and implement a governance model through a decentralized autonomous organization (DAO) to achieve privacy protection and compliant development.