Reserve Asset Adapter
As a kind of decentralized stablecoins in the crypto world, what Ceres protocol pursues are superior stability, scalability and capital efficiency. On the basis of these advantages, Ceres protocol will gradually diversify and decentralize the collateral, so that ASC will not be influenced by any centralized financial system and truly become a type of decentralized stablecoins. This goal will be realized through two stages.
In the first stage, Ceres protocol V1.0 uses the USDC as collateral to provide value support, which is helpful to start Ceres protocol in the early stage and obtain better stability and recognition.
In the second stage, diversified native crypto assets as well as various DeFi derivative portfolios will be introduced into Ceres protocol as collateral to make the price of its stablecoins 100% pegged at the crypto world. Up to this point, Ceres protocol is able to support completely decentralized stablecoins in the crypto world. This stage will be realized through the "Reserved Assets Adapter" of Ceres protocol.
Reserved Assets Adapter (RAA) is a smart contract that can flexibly involve any crypto asset as a part of the collateral behind ASC. These crypto assets can be basic cryptos (e.g., BTC and ETH), project tokens, or even LP tokens used as liquidity provider’s certificates. The DAO will decide whether to involve a certain kind of crypto asset and its proportion in the collateral.
RAA is a win-win contract. For those crypto assets involved, being collateral indicates that the holder of these assets will be able to share the value captured by Ceres protocol and improve the liquidity for their assets. For Ceres, RAA will surely increase the locked value in the protocol besides making the collateral more decentralized and diversified.