Why Djed Should Be Referred to as an Overcollateralized Stablecoin and Not an Algorithmic Stablecoin

As we approach the launch of Djed, we believe it is important to educate more on the category of stablecoin to which Djed belongs.

According to its design, $DJED should be referred to as an overcollateralized stablecoin, and not as an algorithmic stablecoin, as also described by Shahaf in his recent video.

Here is why:

https://cotinetwork.medium.com/why-djed-should-be-referred-to-as-an-overcollateralized-stablecoin-and-not-an-algorithmic-332637d1e741

Testnet node: cot.xsec.es