XUSD, is a USD pegged stablecoin of the Babelfish stablecoin aggregator on RSK blockchain. It facilitates the conversion of multiple USD-pegged stablecoins with each other at a fixed 1:1 ratio.
BabelFish's team developed XUSD, a meta-stablecoin aggregating, bridging and distributing stablecoins 1:1 across networks that will also soon lend the collateral in blue chip protocols (e.g. Aave, Compound) to earn yield through a user saving product and lending a percent of the protocol's collateral. The interest from lending protocol collateral will be used to purchase a bitcoin insurance pool and reward FISH stakers on RSK (the protocol’s parent chain).
Soft-launched on mainnet June ‘21 with a focus on enhancing stablecoin flow and hedging risk, XUSD usage has grown organically to become RSK’s largest stablecoin (over $12mn). The DAO governance soft-launched March ‘22 to give FISH holders voice to propose improvements and vote on parameters such as balancing curves and lending of collateral.
BabelFish’s vision is that if a user wants to use her crypto-dollars on another chain, she can stick it on BabelFish and seamlessly get 1:1 exchange on the destination chain in a simple experience that also enables smaller issuers to compete by hedging the allocation of issuers in what is currently a duopoly by centralised issuers.
Think of it as a translation device between stablecoins, a decentralized bank for stablecoins accepting deposits and withdrawals across chains, or a decentralised vision of Centre.io - in fact, you can also visit our site via decentre.io.
