USDQ

What Is USDQ and Q DAO? Complete Guide from PLATINUM ENGINEERING

Mihaill Kudryashev, a Front-end engineer at PLATINUM ENGINEERING, wrote this article

while seeking to raise awareness about USDQ, a stablecoin his team is helping to develop.

Among the biggest benefits, USDQ brings full decentralization and predictive capabilities.

Soon there will be even more fully backed stable coins: JPYQ, KRWQ, SGDQ, HKDQ,

CNYQ, RUBQ under Q DAO governance. Slowly learning more about blockchains, Mihail

has been effective in transforming vague ideas into effective front-end solutions with strong

UI/UX. Within his team, he’s helped many crypto startups to make their voice heard

throughout the emerging global crypto community. In this article, Mihail looks into the key

benefits that users win from using USDQ.

USDQ brings stability, with no need to engage legacy finance

How do USDQ and Q DAO coins work within the ecosystem?

USDQ is decentralized stablecoin, which uses algorithms to offer higher stability and

reliability. It's backed by Bitcoin (another top 10 cryptocurrencies will be added in future).

The elegant system places all transactions on the blockchain and empower users to execute

cross-border and disintermediated transactions at any time and from any place. It's pegged

to the value of USD, i.e. 1 USDQ always equals 1 USD. The ecosystem's design borrows

heavily from fractional banking systems. In the nutshell, USDQ is a customer-facing

stablecoin and Q DAO is an internal "operational" coin; together they help create a stabilized

safe haven for anybody who's looking to hedge against rampant volatility of crypto markets.

Introduction to Q DAO and USDQ

There's a number of factors that prevent mass adoption of cryptocurrencies. The biggest

factor among this is high volatility, seen in crypto. Bitcoin, the oldest and most popular coin,

has been fluctuating with prices oscillating between 20,000 and 3,500 in just one year of

1. No potential adopters, be it merchants or individuals, would be happy with suffering

huge losses that such drastic changes can entail. And it's this high volatility that USDQ is set

to address, bringing stability and convenience.

Tether (USDT) is probably the most well-known and widely used stablecoin. However, it has

been embroiled in various controversies from the very start with no end to these in sight.

Although the system is supposed to assure the 1-to-1 fiat reserves for all Tether units

created, the website content has been recently changed to say that the issuer views not only

cash in the bank, but also various loans to other companies, as the reserves. Both regulators

and crypto enthusiasts have voiced concerns, which might bode ill for Tether in the months

to come.

USDQ works differently. Here, the stablecoin is pegged to US Dollar and backed by Bitcoin

(+top 10 other cryptocurrencies in future). It's similar to lending operations and fractional

banking systems. Overcollateralization is used to mitigate potential unexpected changes in

assets prices.