ADA/USD bulls stay in control for six straight days as Cardano plans on entering DeFi space

  • IOHK CEO Charles Hoskinson has discussed the firm’s plans to enter the DeFi space. 
  • Hoskinson said that IOHK partnered with Emrugo to launch an algorithmic stablecoin. 
  • He noted that the new stablecoin will be “significantly better than MakerDAO.”

In a recent YouTube video, Charles Hoskinson, the CEO of IOHK (the firm behind Cardano), discussed the firm’s plans to move into the decentralized finance (DeFi) space. Hoskinson noted that he has become “very obsessed with DeFi lately,” resulting in “hundreds of pages of reports, lots of interviews and discussions.” 

The CEO said that IOHK is researching some “most popular DeFi things.”

For example, we’ve partnered with Emrugo, and we're right now working on the logistics of a stablecoin with them that we're going to be building first on Ergo to verify everything works correctly, and then we'll pull it over into Cardano and this is going to be an algorithmic stablecoin. We think it'll be significantly better than MakerDAO.

With more $7 billion locked in different protocols, the DeFi space is currently booming. However, according to Hoskinson, this is more of an advantage than a challenge for IOHK. He explained that the first-mover advantage is actually a disadvantage. In Hoskinson’s opinion, it’s better to be the imitator or the “second-mover” in DeFi.

ADA/USD daily chart

ADA/USD daily chart

ADA/USD bulls have remained in control for the sixth straight day as it is currently trading for $0.125. The bulls now face resistance at $0.125 (SMA 20), $0.13, $0.1322 (SMA 50) and $0.137. The MACD shows that the overall bearish momentum has completely reversed. On the downside, we have two healthy support levels at $0.1186 and $0.12

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