Carbon USD (USC) Stablecoin

An over-collateralized Cosmos-native stablecoin

Carbon USD, USC, is Carbon's native stablecoin that follows the battle-tested MakerDAO's Collateral Debt Position (CDP) model that mints the DAI stablecoin. This over-collateralization mechanism ensures that each USC is always backed by more than $1 worth of collateral.

USC is available for minting via its native Nitron money market platform.

How It Works

USC is a decentralized stablecoin, where new tokens are issued through the use of autonomous smart contracts on the Carbon blockchain. USC is backed by other digital assets that are put up for collateral to mint the USC tokens, on demand.

USC tokens are generated when a lender deposits a set amount of collateral, into a collateralized debt position (CDP).

By adjusting the types of accepted collateral, minimum collateralization ratios, and the interest rates for minting USC (via governance), Carbon is able to control the amount of USC in circulation, and thus its value.

Parameters

• Minting Fee: 0%

• Liquidation Fee: 10%

• Dynamic Interest Rates: Variable

• Collateralization Ratio: Varies depending on the individual assets used as collaterals. As some assets have higher collateralization ratio and others lower, one's collateralization ratio is a weighted average of all available collaterals.

• Supply Cap: 300,000

View the total amount of USC minted on Carbonscan here.

The power to propose and implement changes to such variables is granted, through code, to holders of the SWTH token. Owners of the SWTH governance token are able to vote on proposed modifications in equal proportion to the amount of tokens they hold.