Source: Immersion Imagery – Shutterstock
- Cardano partners with zenGate to provide blockchain-based solutions.
- The partnership will help the Sir Lanka factory owners retain control.
Cardano has partnered with leading blockchain technology company zenGate Global to bring commercial solutions to the tea market in Sri Lanka. Yesterday, zenGate signed a memorandum of understanding (MoU) with the Sri Lanka Tea Factory Owners’ Association to provide the market with blockchain-based solutions.
zenGate will use its Palmyra ComDEX flagship product which focuses on tokenizing eligible commodities for trading on futures and spot markets across the world. Palmyra ComDEX creates these tokens for trading among businesses and provides a platform where all related stakeholders can easily connect.
Today was a big day for #zenGate & #PalmyraComDex
With the help of our Sri Lankan team, we signed an MOU with the Sri Lanka Tea Factory Owners’ Association
Palmyra looks to utilize #Ergo NFTs, #Cardano tech as well as #Atala to bring a robust commercial ecosystem to SL
pic.twitter.com/PFh7gKl6Uw
— zenGate Global (@ZengateGlobal) December 6, 2022
Through zenGATE, the Sri Lankan tea market will be available on the blockchain via Cardano and Ergo. Palmyra will enable tea manufacturers and marketers in Sri Lanka to access affordable enterprise-grade solutions to shore up their businesses. These solutions will also assist business people with finding and sealing leakages in their supply chains to improve their profits.
Speaking during a launch event in Sri Lanka’s capital city of Colombo, zenGATE CEO Daniel Friedman assured intending partners that the entire process would ensure that factory owners retain control. Discussing control and autonomy, Friedman said:
“The magic of the system that we build and engineer is that everybody has a say no matter where they come from or who they are, and everybody has a seat at the table and [is]able to decide the trajectory of their life and to keep the fruits of their labors.”
Palmyra will also give tea farmers access to credit through decentralized finance (DeFi). The collateralized assets tradable on the blockchain will broaden the average factory owner’s reach and also serve as collateral for credit funding. Most of all, the team market will be able to directly sell their products to customers around the globe.
Today @DanielTetsuyama appeared on the popular Sri Lankan television program “Business Today” to discuss #PalmyraComDex & zenGate’s mission to bring access to world markets though the use of tokenized commodities powered by #Ergo & #Cardano pic.twitter.com/VdBkWp8U09
— zenGate Global (@ZengateGlobal) December 7, 2022
Cardano Adoption
The partnership with zenGATE does not specify whether or not the ADA token will be involved with any transactions involving zenGATE’s Palmyra ComDEX. However, the fact that Sri Lanka has one of the world’s largest tea markets, producing a few hundred million kilograms annually, would likely help Cardano chain activity at the very least.
Considering ADA’s lowest point in 2020 compared with its highest point in 2021, the Cardano native token pumped significantly. Although it is well below its all-time high of $3.0, ADA adoption and Cardano activity could bring good tidings and see the token pick up the pace in 2023.
In other Cardano news, an official announcement states that Djed, the first algorithmic Cardano stablecoin, has been reactivated and is now available for testing. The Djed team is currently performing stress tests on the Vasil hardfork and plans for a full launch sometime in January 2023. During a recent Cardano Summit, Cardano founder Charles Hoskinson announced that blockchain ecosystem and decentralized payment solutions provider COTI will officially issue Djed.
Out of the ruins of the TerraUSD (UST) collapse rises a new stablecoin — USDTea, the first of its kind — that is backed by a can of, well, iced tea.
Whether intended as satire or not, USDTea has joined the plethora of stablecoins in the vast crypto wilderness.
USDTea is supported by the “most popular” iced tea brand in the United States, AriZona Iced Tea, which has consistently offered its product for $0.99 since 1996.
Stablecoins are currently taking a severe battering, and the upheaval that occurred this week has thrown the entire crypto ecosystem into chaos with hundreds of billions of dollars in losses from just one token.
The operations of the stablecoin are rather simple, since users just swap tokens and a processing fee for real cans of iced tea (thelcn.com).
USDTea, The Iced-Tea Backed Stablecoin
In these troubling times, the only thing we can count on is that a can of AriZona Iced Tea will cost 99 cents, the same price it has had for the past three decades.
Mossy, a trio of tech artists, believes that an (unofficially) beverage-backed stablecoin can be the messiah of sorts in the ailing crypto economy.
Suggested Reading | Bitcoin And Retirement: U.S. House Bill To Include Crypto On 401(K) Plans
The techy collective says:
We intend to stabilize the fragile cryptocurrency ecosystem by creating a new token backed by a hard asset whose price has been constant for 30 years: AriZona Iced Tea.
While other stablecoins aim to peg to dollar quantities via “questionable algorithms or opaque investment techniques,” Mossy guarantees their liquidity with “sweet and delicious liquid.”
A stablecoin suggests that it should be “stable” since it follows the value of another asset, similar to the gold standard, which has once specified that each US dollar is backed by the precious metal.
TerraUSD was algorithm-based, meaning that there were no physical reserves, which resulted in $400 billion in losses for investors, prompting many to question the “stability” of stablecoins as a whole.
Crypto total market cap at $1.24 trillion on the Tuesday chart | Source: TradingView.com
The Weirdness Of This World
As a result, the group decided to establish a stablecoin backed by “America’s most stable asset” — cans of AriZona Iced Tea, whose owner, Don Vultaggio, has kept the price of a single can stable for 30 years.
The ERC20 token USDTea operates on the Ethereum blockchain. In order to ensure fiduciary obligation, the developers indicated that USDTea will begin operations with an initial quantity of 1,000 tokens and then gradually grow the reserves.
Suggested Reading | Bitcoin Mining Farm – A Psychiatric Clinic – Uncovered In Moscow’s Oldest Prison
The operations of the stablecoin are rather straightforward, since users just send tokens and a processing fee in exchange for real cans of iced tea.
Mossy’s Brian Moore disclosed in an interview with TechCrunch that the group’s token sold out around an hour and a half after launch, which he attributed to the “weirdness of this world.”
Iced tea, anyone?
Featured image from Mossy, chart from TradingView.com