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Blindex Introduces British Pound, Gold-Pegged Stablecoins to BTC DeFi

Published 04/25/2022, 10:15 AM
Updated 04/25/2022, 10:30 AM
© Reuters Blindex Introduces British Pound, Gold-Pegged Stablecoins to BTC DeFi

  • Blindex will bring British pound and gold-pegged stablecoins to RSK.
  • The DeFi platform goes back to its goal of helping stabilize fiat by introducing the new stablecoins.
  • Exploring real-life assets for synthetics is already being planned by Blindex.

Stablecoin DeFi platform Blindex will introduce two new stablecoins to the Bitcoin sidechain Rootstock (RSK), CoinQuora has learned.

Blindex will be launching the bGBP and bXAU stablecoins to inch the company closer to its goal of removing the inherent volatility of fiat money. These two algorithmic stablecoins are pegged to the British pound and the value of 1 oz of gold, respectively.

bGBP is a liquid British pound stablecoin that can be swapped at the market rate with other coins, according to the team. Aside from swapping this stablecoin, holders can mint and stake them. The team revealed that users can also utilize them in other DeFi platforms on RSK and other chains in the future.

Meanwhile, bXAU is the first-ever gold-pegged stablecoin backed by BTC and ETH, among the few rosters of its kind. Blindex explained that the bXAU stablecoin is centralized and requires holders to have physical gold reserves.

bXAU is pegged to the gold price while using BTC and ETH as collateral to back that price. At press time, a troy fine ounce of gold is worth close to $2,000.

In introducing these two stablecoins, Blindex Contributor Omer Paz cited the platform’s core purpose of helping stabilize the fiat money:

[Blindex] is a mechanism for stabilizing digital assets at its core. The only thing that can stop us from stabilizing other ‘things’ is only our imagination. Taking it further into the ‘real’ world is our ambitious long-term vision, and it’s the thing that gets our team’s creativity levels up.

Paz sees a lot of room for the growth of the crypto space, especially DeFi, which are “still in its infancy.” New financial services getting introduced daily fascinate Paz due to their low cost, flexibility, and interoperability.

It is important to note that gold investments have proven to be a long-term hedge against inflation and a portfolio diversifier of choice for some crypto investors. “We see a lot of demand from crypto investors that want to diversify their portfolio by investing in gold,” said Pax when expounding on bXAU. “And now they can do it in a fully decentralized manner.”

Blindex also launched not long ago on RSK. Aside from getting involved with currencies, digital or fiat, Blindex is looking forward to exploring real-life assets for synthetics. The team revealed that all their plans will run on RSK and will be usable across Bitcoin’s DeFi ecosystem.

Continue reading on CoinQuora

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