USDX

USDX Price

About USDX (USDX)

USDX is a decentralized, crypto-collateralized stablecoin native to the Kava ecosystem, designed to provide a stable medium of exchange within the Cosmos network.

• Crypto-backed Stability: USDX is minted by users who lock supported digital assets as collateral within the Kava protocol.
• Native DeFi Integration: It serves as the primary debt asset for the Kava Mint protocol, facilitating decentralized lending and borrowing.
• Cross-chain Utility: Built using the Cosmos SDK, USDX is designed for interoperability across different blockchain networks through the Inter-Blockchain Communication (IBC) protocol.

What Is USDX

USDX is the primary stablecoin of the Kava DeFi hub, functioning as a decentralized unit of account and medium of exchange. It is generated through a system of Collateralized Debt Positions (CDPs), where users deposit various cryptocurrencies—such as BTC, ETH, and XRP—to draw a dollar-denominated debt token. This mechanism allows users to access liquidity without selling their underlying crypto holdings.

Value moves through the system as users mint USDX to participate in other decentralized finance activities, such as providing liquidity or participating in yield-generating protocols. The token is put to work as a stable asset for trading, hedging, and as a component in various interest-bearing accounts within the Kava ecosystem. As the ecosystem grows, the demand for USDX is designed to scale alongside the increasing volume of collateralized lending and the expansion of Kava's cross-chain services.

What Makes USDX Unique

• Multi-Collateral Support: Unlike some early stablecoins restricted to a single asset, USDX can be backed by a diverse basket of cryptocurrencies supported by the Kava protocol.
• Cosmos Ecosystem Native: As one of the first major stablecoins native to the Cosmos network, it benefits from the Tendermint consensus engine's speed and instant finality.
• Lender of Last Resort: The protocol is secured by the Kava token, which acts as a backstop; if the system becomes under-collateralized, new KAVA is minted and auctioned to maintain the stability of USDX.

What Can You Use USDX for?

USDX is pegged to the US Dollar and serves several core functions within the decentralized finance landscape:

1. Value retention: USDX allows users to hold a digital, on-chain representation of the US Dollar, providing a way to reduce exposure to the inherent volatility of the broader cryptocurrency market.
2. Yield generation: Users can earn a native yield on their holdings through the Kava Savings module. This is funded by the stability fees paid by borrowers who mint USDX, providing a decentralized method for earning interest without relying on traditional financial intermediaries.
3. Cross-border settlement / value transfer: Leveraging the Kava blockchain's high throughput and low fees, USDX is capable of facilitating international remittances and frictionless cross-border transfers of value across the Cosmos ecosystem and beyond.
4. Collateralization: USDX can be used as backing for other borrowing and lending protocols or as margin for decentralized derivatives trading, as supported by the various applications built on the Kava platform.

How Does USDX Work?

USDX operates using a system of smart contracts known as Collateralized Debt Positions. To mint USDX, a user must first deposit a supported cryptocurrency into a vault. The protocol then allows the user to borrow USDX up to a specific collateralization ratio, which ensures that the value of the locked assets remains significantly higher than the debt issued.

The system maintains its peg through several automated mechanisms. A pricefeed module utilizes Chainlink oracles to provide real-time market data for the underlying collateral. If the value of the collateral falls below the required threshold, a liquidator module seizes the assets and initiates an auction to recover the outstanding debt and maintain system solvency. Users pay protocol service fees, often referred to as stability fees, which are used to incentivize the security and maintenance of the peg.

Team Info and Investors

USDX was developed by Kava Labs, a team with extensive experience in the blockchain and financial sectors. The project has received backing from prominent venture capital firms, including Ripple, Arrington Capital, and Digital Asset Capital Management. Governance of the USDX system is managed by the KavaDAO, a decentralized autonomous organization where KAVA token stakers vote on critical risk parameters, including debt limits, collateral types, and fee structures.

Where can you buy USDX?

USDX tokens can be traded on decentralized exchanges. The most popular exchange to buy and trade USDX is Kava Swap, where the most active trading pair OSMO/USDX has a trading volume of $12.89 in the last 24 hours.

What is the daily trading volume of USDX (USDX)?

The trading volume of USDX (USDX) is $5,010.52 in the last 24 hours, representing a -48.50% decrease from one day ago and signalling a recent fall in market activity. Check out CoinGecko’s list of highest volume cryptocurrencies.

What is the highest and lowest price for USDX (USDX)?

USDX (USDX) reached an all-time high of $3.89 and an all-time low of $0.1002. It’s now trading -84.00% below that peak and 521.10% above its lowest price.

What is the market cap of USDX (USDX)?

Market capitalization of USDX (USDX) is $69,391,944 and is ranked #342 on CoinGecko today. Market cap is measured by multiplying token price with the circulating supply of USDX tokens (110 Million tokens are tradable on the market today).

What is the fully diluted valuation of USDX (USDX)?

The fully diluted valuation (FDV) of USDX (USDX) is $69,391,944. This is a statistical representation of the maximum market cap, assuming the maximum number of 110 Million USDX tokens are in circulation today. Depending on how the emission schedule of USDX tokens are designed, it might take multiple years before FDV is realized.

How does the price performance of USDX compare against its peers?

With a price decline of -8.40% in the last 7 days, USDX (USDX) is underperforming the global cryptocurrency market which is down -5.10%, while underperforming when compared to similar Stablecoins cryptocurrencies which are down -0.20%.