The Non Fungible Tokens (NFTs) space has grown exponentially since its initial burst back in 2021. The current most popular chains to have NFTs are Ethereum (ETH), Bitcoin Ordinals (BTC) and Solana (SOL).
NFTs are arguably more volatile than actual cryptocurrencies, even when considering blue chips (established) collections. This feature makes it so that using NFTs as everyday currency isn’t optimal, knowing that they can experience heavy intraday price fluctuations, rising or falling by as much as 50% in a single and occasionally rising over hundreds of percent in a month.
The MDS stablecoin is a collateral-backed cryptocurrency whose value is stable relative to the US dollar. Stable digital assets like MDS have the capacity to fully unlock the potential of blockchain technology, and more specifically use cases tied to NFTs and NFT x Decentralized Finance (DeFi).
Midas is a smart contract platform on Solana that backs and stabilizes the value of MDS through a dynamic system of Collaterized Debt Positions (CDPs), autonomous feedback mechanisms, and appropriately incentivized external actors.
Midas enables anyone to leverage their NFT assets (whitelisted and only on Solana at the moment) to generate (or mint) MDS on the midas platform. Once generated, MDS can be used in the same manner as any other cryptocurrency: it can be freely sent to others, used as payments for goods and services, or held as long term savings. Importantly, the generation of MDS also creates the components needed for a robust decentralized margin trading platform.
Key Features of the Midas Protocol and MDS token
Manage your own risk through our risk parameters
As a user, if a liquidation occurs, you receive part of your collateral back in SOL (after fees & debt repayment)
No duration on your position (no stability/upkeep fees)